Bill regulating data centers advances in South Carolina

South Carolina lawmakers have taken a significant step towards regulating the state's rapidly growing data center industry, with a Senate committee advancing a bill to the full Senate. The legislation, which followed months of hearings, seeks to address mounting concerns over data centers' substantial energy and water demands and their potential to impact utility bills for residential and commercial customers. Senator Wes Climer, R-York, emphasized the necessity of legislative action due to the profound consequences of inaction. The proposed bill aims to establish a new state office responsible for overseeing and permitting future data center projects. It also includes mandates for companies to report their water usage, adhere to specific efficiency standards, and bear the costs associated with any new energy infrastructure required for their operations. Senator Jason Elliott, R-Greenville, highlighted that these measures are intended to safeguard ratepayers. However, opponents, like Senator Russell Ott, D-Calhoun, argue that existing local zoning and environmental regulations are sufficient and that additional state-level restrictions could deter data center investment in South Carolina. Despite the bill advancing to the Senate floor, it faces a tight timeline with only a few weeks left in the legislative session to clear all remaining hurdles before potentially reaching the governor's desk.