Tools that power artificial intelligence devour energy. But attempts to shield Californians from footing the bill in 2025 ended with a law requiring regulators to write a report about the issue by 2027. Legislative efforts to regulate the energy usage of data centers — the heart of AI — ran headlong into Big Tech, business groups and the governor. The law mandating the report was all that survived the push to rein in the data-center industry. The measure began as a plan to give data centers their own electricity rate, shielding households and small businesses from higher bills. A ratepayer advocate attorney says the report could help the Legislature understand the problem and potential solutions.
