TN SB1832

High performance computing (HPC) facilities using more than 50 megawatts per month—including AI data centers, supercomputers, and exascale computing systems—must devote at least 50% of their computing output to public benefit purposes such as education, public health, or environmental improvements.

Operators must submit annual reports by January 31 (beginning 2027) detailing energy sources and amounts, total greenhouse gas emissions including supply chain impacts, efforts to reduce energy consumption and carbon footprint, and specific public benefits provided.

Reports must be submitted to the Department of Environment and Conservation, comptroller of the treasury, a council, and local governments where facilities are located, and must be posted publicly on agency websites.

Facilities must conduct annual internal compliance audits and permit external audits by state agencies or third parties upon request.

Noncompliant operators receive 30 days written notice to cure violations; failure to comply results in suspension of operating licenses and permits until the comptroller certifies compliance.