Rep. Craig Williams announced on Apr. 14 the introduction of the Pennsylvania Ratepayer Protection Act, aimed at addressing increasing electricity costs and preparing for growing energy demand in the state.
The proposal comes as Pennsylvania faces higher electricity prices due to increased demand and long-term power agreements secured by large technology companies. Williams said these factors are straining existing supply, which can lead to higher costs for families and small businesses.
“Pennsylvania produces enormous amounts of electricity, but our residents are competing with hyper-scale data companies for that power,” Williams said. “House Bill 2372 protects ratepayers by requiring those companies to bear the full cost of the infrastructure and generation they require. That will provide immediate relief to Pennsylvania ratepayers.”
The legislation would require hyperscale data centers to pay all expenses related to connecting with the electric grid and mandate that they build their own baseload generation facilities within Pennsylvania. This is intended to prevent new demand from drawing on supplies meant for homes and small businesses.
Additionally, House Bill 2372 would expand utilities’ use of long-term power purchase agreements with generators located in Pennsylvania, subject to approval by the Public Utility Commission based on public interest and least-cost standards. These agreements are designed so that ratepayers can secure future electricity supply without having to compete for limited resources, helping stabilize prices.
“Pennsylvania sits on the doorstep of producing the electricity our region needs, yet our residents are paying higher prices because we are not building enough supply,” Williams said. “If large data centers want that power, they should build it and pay for it. This bill puts ratepayers first and gets us back to doing what Pennsylvania does best, producing energy.”
House Bill 2372 has been referred to the House Energy Committee for further consideration.
