PUC Advances Plan to Balance Data Center Growth and Consumer Protection

(Photo Provided with Release Provided by the Pennsylvania Public Utility Commission)

Noah Haswell, Beaver County Radio News

(Harrisburg, PA) According to a release from the Pennsylvania Public Utility Commission, (PUC), they voted 3-2 yesterday to advance its ongoing review of large-load growth including hyperscale data centers. This will help by a Tentative Order being issued proposing a model tariff statewide in Pennsylvania to guide how large electric customers both connect to the grid and responsibly share costs. According to that same release from the PUC, here is some more information about this tentative order:

Background

  • In March 2025, the Commission launched a proceeding to examine the grid impacts of data-center growth and other high-demand electric users, followed by a hearing in April 2025 that brought together utilities, consumer advocates, industry stakeholders, and members of the public.
  • The Tentative Order adopted today reflects that input and outlines a model approach that utilities can use to help ensure timely, transparent, and fair interconnection of large loads, while protecting existing ratepayers and preserving long-term system reliability.

Highlights of the Tentative Order

  • Defines large-load customers and aligns Pennsylvania’s approach with emerging practices across the PJM region.
  • Strengthens protections for existing customers through cost-causation measures — including contributions-in-aid-of-construction, tiered collateral, and minimum contract terms.
  • Encourages large-load customers to contribute toward programs that support low-income customers.
  • Encourages faster, more transparent interconnections through clustered study timelines, optional independent studies, and limited customer-built upgrades meeting utility standards.
  • Incentivizes flexibility by providing rate options for customers willing to accept interruptible or flexible service during peak system demand.
  • Invites public feedback to refine these guidelines before a final order is issued.

How to Comment

The Tentative Order will be published in the Pennsylvania Bulletin, triggering a 30-day public comment period. Interested parties may file comments as follows:

  • By mail:
    Secretary, Pennsylvania Public Utility Commission
    Commonwealth Keystone Building, Second Floor
    400 North Street
    Harrisburg, PA 17120
  • Courtesy copy:
    Please email a Word-formatted version of comments to

pc-puc-tus-energy@pagov.onmicrosoft.com (attachments ≤ 3MB).

Note: Reply comments will not be permitted.

  • A copy of the full Tentative Order along with other information related to the PUC’s study of issues related to large-load customers is available in the PUC public docket for this case: M-2025-3054271