Delaware Bill Allows Electric Cooperative to Reject Data Centers
The Delaware Senate passed SB 276, enabling the Delaware Electric Cooperative to deny power requests from large energy consumers, including data centers. This legislative move aims to protect existing customers from potential price spikes associated with the rising energy demands of data centers, which could significantly impact electricity costs in the region.
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Senate Bill 276, recently passed unanimously by the Delaware Senate, permits the Delaware Electric Cooperative to refuse service to new large energy consumers, specifically those requiring 50 megawatts or more. This change addresses concerns regarding the energy demand from proposed data centers, which could lead to substantial price increases for existing customers.
The cooperative's CEO indicated that if the requirement is lifted, new facilities would need to generate their own power or source it from third-party suppliers. Delaware's largest utility, Delmarva Power, has not sought similar legislative changes, emphasizing its adherence to the Delaware Public Service Commission's regulatory framework. The passage of this bill may influence energy market dynamics and customer rates across the state.
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