California enacts laws forcing AI data centers to pay for grid and water upgrades
Governor Gavin Newsom signed seven bills requiring the California Public Utilities Commission to create a new rate classification for data centers and mandating that AI data centers fund local electricity grid and water system upgrades. The package also requires proposed data centers to disclose estimated water use, energy-efficiency and drought plans, and meet certain energy, water and fuel consumption criteria to qualify for streamlined approvals; Newsom recently also issued an executive order on an AI "kill switch."