New Jersey sets path for data center electric tariffs requiring 10-year payment guarantees and twice-yearly reporting
Two 2026 laws reach New Jersey data centers: a July 7 tariff law with an 85 percent, 10-year payment guarantee and priority curtailment, and an August 27 law requiring semiannual energy and water reports to the BPU. Board standards are due within 12 months of July 7.
New Jersey now has two enacted laws aimed at large data centers. P.L. 2026, c. 32 (A796/S731), approved July 7, 2026 and effective immediately, directs the Board of Public Utilities ("BPU") to set standards for "large data center customers" and each electric public utility to file a tariff. P.L. 2026, c. 75 (S3379/A4096), signed August 27, 2026, requires data center owners and operators to submit semiannual water and energy use reports to the BPU, according to the Governor's release of that date.
P.L. 2026, c. 32 (A796/S731), approved July 7, 2026; P.L. 2026, c. 75 (S3379/A4096), approved August 27, 2026