Bill > SB886

This bill, the California Technology Innovation and Ratepayer Protection Act, requires the Public Utilities Commission (PUC), by July 1, 2027, to establish a new rate structure for electrical corporations that includes a specific tariff for "participating customers" who are large energy users, defined as data centers with a peak demand of at least 25 megawatts, and potentially other large load customers as determined by the PUC. This tariff will govern how these customers interconnect their facilities and receive electricity services, aiming to prevent cost shifts or stranded costs for "nonparticipating customers" (those not under this specific tariff). Key provisions include requiring participating customers to prefund new, zero-carbon energy resources for at least 15 years, participate in a demand response program, install onsite zero-carbon energy storage, and bear the full cost of transmission facility upgrades triggered by their interconnection. The bill also mandates that participating customers disclose if they've applied for interconnection of the same facility elsewhere and may be subject to early termination fees if they leave the system within 15 years. Additionally, it encourages local publicly owned electric utilities to develop similar tariffs to ensure costs are not shifted to non-participating customers within their service territories.