Senate Bill 1682 aims to regulate the operation of data centers in Tennessee by establishing a registration requirement with the Tennessee Public Utility Commission (TPUC). Starting January 1, 2027, data centers with a power capacity exceeding twenty megawatts must register with the TPUC, providing essential information such as their physical address, contact details, power capacity, and the utilities servicing them. The bill mandates that data centers notify the TPUC of any changes to their registration information and report their cessation of operations. Additionally, electric and water utilities serving these data centers are required to report their service usage to the TPUC on a monthly basis.

The bill also includes provisions for penalties, allowing the TPUC to impose civil fines of up to $1,000 per day for non-compliance with registration requirements, capped at $25,000. Furthermore, the TPUC is authorized to seek injunctive relief in Davidson County Chancery Court to address ongoing violations. The TPUC is tasked with compiling and publishing monthly reports on the electricity and water usage of data centers, along with the service rates charged by the utilities, ensuring transparency and accountability in the operation of data centers in the state. The act is set to take effect on July 1, 2026.