California signs bills forcing data centers to disclose power and water use
Seven signed bills require monthly energy reporting and water disclosures from next year; coverage gaps remain until regulators write the rules.
Original event 2026-09-21
California Gov. Gavin Newsom signed seven bills on Monday. Starting next year, data center operators must report energy consumption monthly and disclose water use in specific situations.
The package goes beyond disclosure: SB 886, AB 2383 and SB 1168 direct the California Public Utilities Commission to create separate power rates for data centers to recoup grid connection costs instead of passing them to other customers, and SB 887 removes categorical exemptions from the California Environmental Quality Act.
The prior information gap was near total: Santa Clara University researchers found every water provider in districts housing data centers refused to share usage data, citing privacy. The laws still leave big gaps — water disclosures are only required in specific application situations — so whether the data settles the question of rising electricity bills remains to be seen.