Overview
- The Oregon Public Utility Commission approved a new Portland General Electric rate schedule that raises charges for customers using more than 20 megawatts by about 29.7% and reduces residential bills by about 1.3%, a move the PUC estimates will touch roughly 963,000 customers.
- The rate class was created by the 2025 POWER Act to make hyperscale data centers and similar large users bear the costs of new generation, transmission and substation work required to serve them.
- The Data Center Coalition has filed for reconsideration, saying Oregon’s approach departs from other states’ models and risks creating uncertainty and competitiveness problems for data‑center developers.
- Experts and analysts warn that practical implementation is hard because cost allocations can be gamed by data centers that shift load around peak times and because some upgrade costs may be shared or stranded if projects do not proceed as planned.
- States from New Jersey to Delaware and Alabama are adopting or considering comparable targeted tariffs and contract rules, and federal initiatives such as the White House pledge and proposed legislation have increased attention to how to protect ratepayers.