South Dakota HB1301 limits costs and risks for data centers with high electricity use and imposes a moratorium on new construction.

South Dakota HB1301 mandates that large data centers, defined as those with a peak electricity demand of twenty megawatts or greater, bear the full cost of providing electric service, including infrastructure upgrades. The bill requires these data centers to submit a decommissioning plan and post a security bond within the first year of operation. It also imposes a moratorium on new construction or expansion of large data centers until June 30, 2027.

South Dakota HB1301 limits costs and risks for data centers with high electricity use and imposes a moratorium on new construction.

South Dakota HB1301 mandates that large data centers, defined as those with a peak electricity demand of twenty megawatts or greater, bear the full cost of providing electric service, including infrastructure upgrades. The bill requires these data centers to submit a decommissioning plan and post a security bond within the first year of operation. It also imposes a moratorium on new construction or expansion of large data centers until June 30, 2027.