It is the most common complaint we hear about data centers: "my electric bill went up." The concern is legitimate, California data centers consumed 10.8 terawatt-hours in 2023, double 2019, but the legal answer is not in a courtroom. It is at the CPUC. Here is how it works.
How Rates Are Set
PG&E, SCE and SDG&E do not decide on their own what to charge. The California Public Utilities Commission (CPUC) approves rates in public proceedings. If a utility builds lines and substations for a data center and then spreads the cost across all customers, that is decided, and can be challenged, at the CPUC.
The 2026 Laws
On September 21, 2026 the governor signed SB 886 and AB 2383, known as the "California Technology Innovation and Ratepayer Protection Act." They require that, by January 1, 2028, large data centers have their own tariffs covering their infrastructure costs, with early-termination charges of up to 10 years, so households do not subsidize companies. SB 1168 directs the CPUC to conduct a rate-design study.
Why It Is Not a Private Lawsuit
Rate laws do not create a "private right of action." A neighbor cannot sue Microsoft or Amazon over a PG&E bill. What you can do is participate: submit public comments to the CPUC, attend hearings and support the consumer advocates who intervene in those proceedings.
Who Represents You at the CPUC
The Utility Reform Network (TURN) and the Public Advocates Office (Cal Advocates) are intervenors who fight for residential customers in large-load rate cases. Both have Spanish-language materials. You can also file an informal complaint with the CPUC if you believe your bill has errors.
What Can Be a Case
If, beyond the bill, there is constant noise, generator smoke, health problems or lost home value, that can be a nuisance claim. And if you work on the data center's construction and were not paid prevailing wage or were injured, that is an employment case.
Free Guidance
Tell us your situation. If it is a rate matter, we point you to where to participate and whom to contact. If there is more, we evaluate it. Always in Spanish and at no cost.