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Read. Follow. Verify.Indiana Utility Regulatory Commission directed to study electrical grid impacts of data centers and large energy users
Last action · January 5, 2026: First reading: referred to Committee on Utilities, Energy and TelecommunicationsSponsor: Robin Shackleford
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What This Bill Proposed
Indiana requires its utility regulatory commission to study how electricity demand from data centers and s affects utility costs and retail electricity rates. The commission must evaluate infrastructure costs, stranded asset risks, and cross-subsidies, and publish its findings in its 2026 annual report upon passage.
Residential and commercial electricity customers face potential shifts in retail rates and infrastructure investment costs driven by expanding data center electricity consumption across Indiana utilities.
- The Indiana Utility Regulatory Commission (IURC) regulates the rates, charges, and services of Indiana's investor-owned electric, natural gas, steam, and telecommunications utilities. context
- Data centers have experienced significant growth, creating unprecedented demands on electrical transmission and generation capacity across regional power grids. context
Who It Would Have Affected
Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.
Energy utilities
Energy utilities are subject to the study requirements, may be consulted by the commission, and must provide data regarding infrastructure costs and electricity demand.
Large load customers and data centers
Their electricity demand and facility operational statuses serve as the primary subject of the regulatory study regarding infrastructure and stranded asset costs.
Residential, commercial, and industrial retail customers
Their retail electric rates and potential exposure to cross-class subsidies resulting from new infrastructure investments are evaluated by the study.
Office of utility consumer counselor
The office may be consulted or invited to submit comments during the commission's study process.
Key Facts
- The Indiana utility regulatory commission must study the effects of new electricity demand from data centers and large load customers on utility costs and retail electric rates.
- A large load customer is defined as a new or existing customer or group of up to four customers requesting new or additional electricity demand exceeding the lesser of 5% of the utility's average peak demand over three years or 150 megawatts.
- The commission must evaluate anticipated costs for deploying new transmission and distribution infrastructure needed to serve data centers and large load customers.
- The study must assess potential costs of stranded assets if data centers or large load customers fail to operate, reduce service, or cease commercial operations.
Show all 6 facts
- The commission must examine whether utility investments for large customers result in cross-class subsidies that increase rates for residential and other commercial or industrial customers.
- The commission must include its study findings in the annual report required to be submitted before October 1, 2026.
Frequently Asked Questions
What triggers the large load customer threshold in the bill?
When must the study results be reported?
Who can the commission consult with while conducting the study?
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
This bill did not become law - Died at adjournment · in House committee.
Procedural history
2 actions- Jan 5, 2026HouseIntroducedFirst reading: referred to Committee on Utilities, Energy and Telecommunications
- Jan 5, 2026HouseAuthored by Representative Shackleford
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Sponsors
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
Regulatory focus on high-demand data center loads
The legislation highlights growing legislative attention on how rapid expansions in large-scale data center infrastructure impact traditional utility rate classes and electrical grid capacity.
Connected Entities
Sources
iga.in.gov
Analysis Score
0–100- Significance20Lowered because this bill did not pass (its text scored 65)
- Controversy40Intensity of disagreement among stakeholders
- Entertainment5Compellingness for a non-policy-wonk reader
- Buzz35Current news / social attention level
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