This bill amends Section 476.6 of the Iowa Code to establish a new customer class specifically for large energy use facilities, defined as those using or capable of using twenty megawatts or more and primarily engaged in services under code number 518210 of the North American industry classification system. The bill mandates that the Iowa Utilities Commission create a distinct customer class for these facilities, which will have its own rates, charges, and schedules. The rates must directly assign the costs of serving these facilities, mitigate the risk of other customer classes incurring unwarranted costs, and prevent the shifting of costs to other classes.

Additionally, the bill outlines the considerations the commission must take into account when approving rates for this new customer class, including the potential for increased costs or risks to other customers and the need for equitable contributions to grid efficiency and reliability. It also states that electric utilities and large energy use facilities are not obligated to use this classification unless a rate, charge, or schedule has been approved by the commission. The provisions of this bill will apply to electric utility services for large energy use facilities that are constructed or expanded on or after January 1, 2027.

Statutes affected:
Introduced: 476.6