Certification of thermal powerplants: data centers.
SB 1298 has the potential to significantly affect state energy regulations by expanding the capacity limits for which exemptions can be granted. It could streamline the process for data centers to develop backup energy solutions, thus supporting technological infrastructure while ensuring that these developments do not adversely impact the environment or energy resources. However, the requirement for a skilled workforce to be used for construction adds another layer of accountability and aims to strengthen labor standards in energy projects. Furthermore, the bill mandates that operators of exempted facilities must fully mitigate any negative impacts on air quality, ensuring compliance with local air quality standards.
Senate Bill 1298, introduced by Senator Cortese, seeks to amend sections of the Public Resources Code related to the certification of thermal powerplants specifically for data centers. The bill aims to authorize the State Energy Resources Conservation and Development Commission to exempt from certification thermal powerplants with generating capacities of up to 150 megawatts. This exemption would apply under specified conditions, including that the plants are solely used as backup generation for data centers, located on the customer's side of the meter, and not interconnected to the distribution system. The bill highlights the growing demand for reliable energy sources in the data center sector, particularly in a state that is increasingly reliant on digital technology and services.
The sentiment around SB 1298 is mixed among stakeholders. Proponents argue that the bill is necessary to enhance energy reliability for data centers, a critical component of the state’s economy. They believe the provisions will help support business growth and technological advancement while balancing environmental responsibilities. Conversely, critics express concern about the potential for environmental degradation and the adequacy of the proposed mitigations for air quality impacts. The debate reflects broader tensions between economic growth in the tech sector and environmental sustainability in California.
One of the notable points of contention surrounding SB 1298 is the balance it seeks to strike between facilitating energy infrastructure development and environmental stewardship. Critics are particularly concerned about how the expanded capacity for exempted thermal powerplants could affect local environments if not properly mitigated. Additionally, the bill sets expiration dates for the provisions, with a repeal set for January 1, 2030, raising questions about long-term energy strategies as California continues navigating its energy landscape and climate goals.