Requires that certain data centers requiring large amounts of electricity be required to fund the cost of necessary infrastructure improvements to supply such electricity.

Plain-English Summary

This bill addresses who should pay for electrical infrastructure upgrades when large data centers move into Rhode Island. Data centers — the massive facilities that power cloud computing, artificial intelligence, and internet services — require enormous amounts of electricity, often far more than typical businesses or residents. When a data center connects to the power grid, the existing electrical infrastructure (such as power lines, substations, and transformers) may need significant and costly upgrades to handle that extra demand.

Under this bill, data centers that require unusually large amounts of electricity would be required to pay for those necessary infrastructure improvements themselves, rather than having those costs passed on to other electricity customers. Currently, when the power grid needs upgrades to serve a new large customer, the costs can sometimes be spread across all ratepayers — meaning everyday Rhode Islanders and small businesses could end up paying higher electric bills to support a large corporation's energy needs. This bill aims to prevent that from happening.

The bill would primarily affect companies looking to build or operate large data centers in Rhode Island, as they would need to factor infrastructure upgrade costs into their business plans. It could also affect existing utility customers, who might otherwise see their bills rise to cover grid improvements they didn't cause. The Public Utilities Commission would oversee and enforce these requirements. The bill has been referred to the House Corporations Committee and is scheduled for a hearing in April 2026.