Tennessee Data Center Electrical Infrastructure Cost Law

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A new law in Tennessee prohibits local governments and utility providers from paying for or absorbing the cost of electrical infrastructure improvements that solely serve data centers. The law requires data center owners or operators to pay the full cost of infrastructure expansions and upgrades needed to support their facilities, including costs to maintain service levels for existing utility customers. The law also prevents utility providers from raising rates for other customers due to increased demand from data centers and establishes a complaint framework for violations.