State · Government

New Jersey sets a separate power rate class for data centers

The Data Center Fair Share law directs state regulators to build tariff standards for large data centers so their grid costs are not spread across household bills.

Governor Sherrill signed S731/A796, the Data Center Fair Share legislation, on July 7, 2026, as part of a three-bill energy package. The law creates a distinct ratepayer classification for large data centers and tasks the New Jersey Board of Public Utilities with developing the tariff standards.