§ 54-26-301 — Large load contract requirements.

(1) Electric service for a large-scale service request shall be provided only under one or more large load contracts with:
(1)(a) a qualified electric utility;
(1)(b) a large-scale generation provider; or
(1)(c) any combination of Subsections (1)(a) and (1)(b).
(2) A large load customer shall:
(2)(a) contract for all of the customer's projected electrical requirements under the large-scale service request; and
(2)(b) maintain contracts with resources or load shedding capabilities sufficient to meet the customer's actual electrical requirements at all times.
(3) A large load contract with a qualified electric utility shall:
(3)(a) ensure that all large load incremental costs are allocated to and paid by the large load customer;
(3)(b) comply with all system requirements;
(3)(c) require the large load customer to maintain financial security sufficient to cover the large load customer's obligations;
(3)(d) specify:
(3)(d)(i) points of interconnection;
(3)(d)(ii) power delivery points;
(3)(d)(iii) the amount of electrical capacity contracted for;
(3)(d)(iv) the term of service; and
(3)(d)(v) any arrangements for backup power supply;
(3)(e) provide curtailment provisions if the large load customer's demand exceeds the amount of contractually supported demand;
(3)(f) identify the incremental generation resources that the qualified electric utility will use to serve the large load customer; and
(3)(g) include provisions addressing the allocation and payment of long-term operation and maintenance costs for large load facilities.
(4) A large load contract with a large-scale generation provider that provides service through a connected electrical system shall:
(4)(a) ensure that all large load incremental costs are allocated to and paid by the large load customer;
(4)(b) comply with all system requirements;
(4)(c) specify:
(4)(c)(i) points of interconnection;
(4)(c)(ii) power delivery points;
(4)(c)(iii) the amount of electrical capacity contracted for;
(4)(c)(iv) the term of service; and
(4)(c)(v) any arrangements for backup power supply; and
(4)(d) provide curtailment provisions if the large load customer's demand exceeds the real-time dispatch of the large-scale generation provider's resources under the large load contract, net of transmission losses.
(5) A qualified electric utility:
(5)(a) has no duty to serve a large load customer except as explicitly provided in a large load contract; and
(5)(b) is not required to provide backup power to a large load customer except as explicitly provided in a large load contract.
(6) A qualified electric utility may not be required to commence design and construction of large load facilities until after:
(6)(a) executing a large load construction contract; and
(6)(b) obtaining commission approval in accordance with Section 54-26-302.
(7) A qualified electric utility or large-scale generation provider shall:
(7)(a) obtain commission approval in accordance with Section 54-26-302 before providing electric service under a large load contract; and
(7)(b) negotiate the terms of a large load contract with a large load customer on a case-by-case basis.
(8) Within 15 business days after executing a large load contract, a person executing the contract shall submit an application for approval to the commission for review under Section 54-26-302.

Legislative History

Enacted by Chapter 318, 2025 General Session