Utility Tariff Analysis · Updated September 2026

South Dakota's Data Center Bill of Rights for Citizens (SB 135): What It Means for AI Data Center Siting in South Dakota

September 18, 2026 6 min read Strategic Crypto Reserve Data Center Infrastructure

Data centers, addressed through consumer-protection legislation rather than a load-size threshold are addressed under South Dakota's SB 135, the 'Data Center Bill of Rights for Citizens,' which requires electricity providers to establish separate terms and conditions for data center customers — a consumer-protection-first framing distinct from the minimum-billing-demand tariffs most other states have adopted.

South Dakota at a glance: industrial power about 8.6¢/kWh (EIA-based, indexed to April 2026) · grid queue about 26 months · data center equipment tax exemption: none. Indicative figures from the SCR AI Build Configurator v1.4.0.

The Tariff Explained Model a South Dakota Build Free
South Dakota AI data center power map: South Dakota's Data Center Bill of Rights for Citizens (SB 135) large-load tariff

South Dakota's Data Center Bill of Rights for Citizens (SB 135)

SD

Otter Tail Power / NorthWestern Energy

SB 135

Regulatory docket / filing reference

Data centers, addressed through consumer-protection legislation rather than a load-size threshold

Who the tariff applies to

Data centers, addressed through consumer-protection legislation rather than a load-size threshold are addressed under South Dakota's SB 135, the 'Data Center Bill of Rights for Citizens,' which requires electricity providers to establish separate terms and conditions for data center customers — a consumer-protection-first framing distinct from the minimum-billing-demand tariffs most other states have adopted.

Also active in South Dakota: Otter Tail Power, which also serves large-load customers in Minnesota and North Dakota under its Super Large General Service framework, is active in South Dakota's data center pipeline, including a $16 billion, 430 MW Applied Digital project in Toronto, SD.

South Dakota at a glance: large-load tariff threshold, docket and who it applies to

Named Projects Already Underway

CustomerLocationDetails
Applied DigitalToronto, SD$16 billion, 430 MW data center project

Figures compiled from the Edison Electric Institute's "Large Load Projects and Tariffs" (September 2026) member-company summary and public regulatory filings. Confirm current tariff terms directly with Otter Tail Power / NorthWestern Energy and the relevant state public utility commission before relying on any figure for a capital decision.

Weighing South Dakota against another state or a Canadian province with a different rate and interconnection picture entirely? Run both sides of the comparison through our licensed AI data center cost configurator — it applies each jurisdiction's actual power rate, tax treatment and large-load tariff rules to the same seven build configurations.

South Dakota’s SB 135 focuses on citizen protections around data center siting; our own crypto data center operates under a very different regulatory environment in British Columbia, useful context either way.

Named data center projects underway in South Dakota Named Projects Already Underway: South Dakota's Data Center Bill of Rights for Citizens (SB 135): What It Means for AI Data Center Siting in South Dakota

Model This State on Your Own Site

Every figure above comes from the same power-cost and tariff dataset behind the SCR AI Build Configurator — a licensed, embeddable widget that models seven data center build configurations against all nine Canadian provinces and all 50 US states plus DC, returning capital expenditure by line item, energy cost, revenue by commercial structure, EBITDA and payback.

LicencePrice (CAD)Who it suits
Standard$4,000 / domain / yearAdvisors who need three lease-model configurations and a clipboard summary
Pro$10,000 / domain / yearConsultants who send CSV deliverables to clients and want all seven configurations
EnterpriseFrom $25,000 / year, up to 3 domainsDevelopers and EPC firms who want the model on their own cost basis with attribution removed

Not ready for an annual licence? A one-time Site Screening Report ($950, one site) runs the same model for a single build without embedding anything.

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Model a South Dakota data center build in the SCR AI Build Configurator: CapEx, power cost, EBITDA and payback Model This State on Your Own Site: South Dakota's Data Center Bill of Rights for Citizens (SB 135): What It Means for AI Data Center Siting in South Dakota

Compare South Dakota With Nearby States

Large-load rules change sharply at state lines. See how the neighbouring utilities handle data center and high-density loads before you shortlist a site.

North Dakota

MDU high density (10 MW)
Nebraska

Nebraska 20 MW Large Load Act
Minnesota

Xcel 100 MW / Otter Tail
Wyoming

Black Hills LPCS
All 50 State Tariffs Data Center Cost Calculator AI Build Configurations

Frequently Asked Questions

What is South Dakota's Data Center Bill of Rights for Citizens (SB 135)?

Data centers, addressed through consumer-protection legislation rather than a load-size threshold are addressed under South Dakota's SB 135, the 'Data Center Bill of Rights for Citizens,' which requires electricity providers to establish separate terms and conditions for data center customers — a consumer-protection-first framing distinct from the minimum-billing-demand tariffs most other states have adopted.

Why did Otter Tail Power / NorthWestern Energy introduce this large-load structure?

To ensure the cost of new generation, transmission and distribution infrastructure built to serve very large customers, chiefly hyperscale data centers, is paid for by those customers rather than spread across the general rate base of residential and small commercial ratepayers.

What large data center projects are already active in South Dakota?

Otter Tail Power, which also serves large-load customers in Minnesota and North Dakota under its Super Large General Service framework, is active in South Dakota's data center pipeline, including a $16 billion, 430 MW Applied Digital project in Toronto, SD.

Does this tariff replace South Dakota's standard commercial and industrial rates?

No. South Dakota's Data Center Bill of Rights for Citizens (SB 135) sits above Otter Tail Power / NorthWestern Energy's standard commercial and industrial rate schedules and applies specifically to customers that meet or exceed the large-load threshold described above. Smaller commercial and industrial loads continue to be billed under existing rate schedules.

How can I model a South Dakota data center build against this tariff and other states?

The SCR AI Build Configurator applies South Dakota's power cost, tax treatment and large-load tariff rules alongside all other US states and Canadian provinces, so a South Dakota scenario can be compared line-by-line against any alternative site.