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Tariffs For Large Load Customers

COST CONTROLCOST DISTRIBUTIONCUSTOMER AGENCY
Last Updated September 24, 2025

AT-A-GLANCE

IMPACT TIME HORIZON
Medium Term (2–5 Years)
POTENTIAL COST SAVINGS
High

CONTEXT AND BACKGROUND

Tariffs for large load customers include both retail tariffs, regulated at the state level, and other FERC-regulated tariffs, including Open Access Transmission Tariffs (OATTs). These tariffs set the terms that large electricity users — such as data centers and major industrial facilities — must agree to connect to the grid and take service. Retail tariffs also define the electricity rates these customers must pay and may also address cost allocation among customer classes. OATTs govern how the costs of transmission infrastructure and services are shared among customers. Together, these tariffs can be designed to reduce risks for other residential, commercial, and industrial customers and spread costs more fairly.
Impact Time Horizon Icon

Impact Time Horizon

How long it typically takes for changes to materialize in utility behavior or customer bills

MEDIUM-TERM (2–5 YEARS)
TBD
Potential Cost Savings Icon

Potential Cost Savings

The level of cost savings that can reasonably be expected to result from this policy

high
TBD
Target Cost Drivers Icon

Target Cost Drivers

The policy can help to ease customer cost pressures created by these drivers

Aging grid infrastructureFuel price volatilityExtreme weather/wildfiresLoad growthMisaligned utility incentives

FURTHER READING

  • Additional reading resources for this policy are being compiled.