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SB 2112

Utilities, Utility Districts - As introduced, requires certain data centers to register with the department of revenue; requires fuel suppliers, and electric and water utilities that provide fuel and service respectively to registered data centers to report usage and rates to the department; requires the commissioner to compile and publish certain information based on reports received from utilities. - Amends TCA Title 5; Title 6; Title 7; Title 10; Title 62; Title 65; Title 68 and Title 69.

114th Regular Session (2025-2026) Introduced by Heidi Campbell

Tennessee requires data centers to register and mandates utilities report their fuel/power consumption and rates to the state for public disclosure.

Placed on Senate State and Local Government Committee calendar for 3/24/2026
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Bill Summary · SB 2112

Legislative bill overview

SB 2112 requires large data centers operating in Tennessee to register with the Department of Revenue and mandates that fuel suppliers and electric/water utilities serving these facilities report their usage data and rates to the state. The Department of Revenue would then compile and publish this information for public access.

Why is this important

Data centers consume massive amounts of electricity and water—often comparable to entire cities—making transparency about their resource consumption and utility costs a matter of public interest. This bill creates visibility into whether data centers are receiving preferential rates or placing strain on local infrastructure, which affects rate structures for other consumers and community planning.

Potential points of contention

  • Data center privacy concerns: Companies may resist reporting operational details and pricing agreements, claiming competitive disadvantage or proprietary information
  • Regulatory burden: Utilities face new compliance and reporting requirements, which could increase administrative costs potentially passed to consumers
  • Incentive impact: If data centers currently receive tax breaks or preferential utility rates as recruitment tools, publicizing these rates could trigger debate about fairness to other businesses and transparency in economic development incentives

Compiled from official sources — confirm details with the bill’s official record.

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