Bill > HB940

This bill modifies regulations for "large load customers," defined as commercial or industrial electricity users with a significant monthly demand of at least 25 megawatts and a high usage consistency (load factor over 80%), by exempting them from needing a "certificate of public convenience and necessity" – a permit typically required for new utility infrastructure projects – if they utilize "surplus interconnection," which is unused capacity at existing connection points to the electric grid. The bill mandates the Public Service Commission to create a streamlined process for these large customers to connect to the electric system, including standard and expedited timelines, without negatively impacting other customers' connection abilities. To interconnect, large load customers must provide 25% of their electricity demand through methods like behind-the-meter energy storage, purchasing capacity from new storage or carbon-free energy sources within their local area, or through demand response programs. Those who provide 100% of their load through these methods and pay prevailing wages will receive priority for grid studies, interconnection, and permitting. The bill also establishes a demand response program for large load customers, allowing them to contract for specific periods of reduced electricity usage in exchange for compensation, with clear rules for participation, penalties for non-compliance, and advance notice requirements. Furthermore, before signing a service contract, large load customers must request a load study and pay associated fees, with half of these fees supporting the Electric Universal Service Program and the other half funding an energy efficiency program for low-income households. Finally, the Maryland Energy Administration is tasked with studying and reporting on the state's surplus interconnection potential by December 31, 2026, and sharing these findings with data center developers to encourage their use.

Transportation and Infrastructure

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB0940?ys=2026RS