Utah Data Center Laws: Protecting Ratepayers, Water and Natural Resources

Utah lawmakers have put significant safeguards in place for new data center developments, with protections for electricity ratepayers, water resources, air quality, taxpayers, and other natural resources.

According to the Kem C. Gardner Policy Institute, Utah has 48 operational data centers with more than 920 megawatts of capacity. Seven projects under construction are expected to add approximately 2,600 megawatts, including 1,700 megawatts expected to operate behind the meter or off the electric grid.

Over the past two legislative sessions, the Legislature has strengthened oversight of large electricity loads, required greater transparency around data center water use, maintained environmental and public health review, and placed new limits on taxpayer incentives. 

Lawmakers are continuing that work during the interim with a focus on local input, community benefits, air quality, water, and other natural resource concerns.

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