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Bill > S08546
NY S08546
NY S08546Requires the public service commission establish a grid modernization surcharge imposed on utilities for the energy use of data centers and high-intensity data centers which meet a specified threshold of electricity or information-technology load; establishes the grid modernization fund to finance investments in system reliability, capacity expansion, and integration of clean energy resources.
summary
Introduced
10/24/2025
10/24/2025
In Committee
01/07/2026
01/07/2026
Crossed Over
Passed
Dead
Introduced Session
2025-2026 General Assembly
Bill Summary
AN ACT to amend the public service law and the public authorities law, in relation to establishing a grid modernization surcharge; and to amend the state finance law, in relation to establishing the grid modernization fund
AI Summary
This bill requires the public service commission to establish a grid modernization surcharge specifically targeting data centers that consume significant amounts of electricity, defined as facilities with an IT load exceeding 10 megawatts or high-intensity data centers with an annual power-usage effectiveness greater than 1.3 or annual electricity consumption over 50 gigawatt-hours. The surcharge will be collected as a separate line item on utility bills for these data centers, with potential reductions for centers that demonstrate at least 90% of their electricity comes from renewable resources meeting specific criteria. The funds collected will be deposited into a new grid modernization fund, which will be used exclusively to finance investments in system reliability, capacity expansion, and clean energy resource integration. The bill also requires utilities to submit annual reports detailing surcharge collections, system improvements, and other key metrics, and mandates that the public service commission provide an annual public report to state leadership summarizing the fund's activities and outcomes. Notably, the surcharge can only be applied to data center accounts and cannot be passed on to other customer classes. The act will take effect one year after becoming law, with preparatory regulatory work allowed to begin immediately.
Committee Categories
Transportation and Infrastructure
Sponsors (1)
Last Action
REFERRED TO ENERGY AND TELECOMMUNICATIONS (on 01/07/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.nysenate.gov/legislation/bills/2025/S8546 |
| BillText | https://assembly.state.ny.us/leg/?default_fld=&bn=S08546&term=2025&Summary=Y&Actions=Y&Text=Y&Committee%26nbspVotes=Y&Floor%26nbspVotes=Y#S08546 |
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