The bill introduces a new section, Section 37-4-22.1, to the Code of Alabama 1975, which outlines specific considerations for the Public Service Commission when reviewing and approving retail electric service contracts between utilities and large load customers. A "large load customer" is defined as a utility customer with a contract requiring an expected total peak demand of 100 megawatts or greater. The bill specifies that contracts must allow for the recovery of incremental costs associated with providing electric service to these customers and must also promote positive benefits for other retail electric customers.

Additionally, the bill stipulates that the commission must determine whether the contract pricing and terms are in the public interest by assessing if they can lower costs for other customers and enhance the efficiency of the utility's power system. The act is set to take effect on October 1, 2026. There are no deletions from current law mentioned in the text provided.