Utility Tariff Analysis · Updated September 2026

Washington's 2027 Data Centre Tariff Mandate: What It Means for AI Data Centre Siting in Washington

All investor-owned utilities, ahead of a 2027 statutory deadline must establish a dedicated data centre tariff or policy by 2027 under Washington state legislation, ensuring large loads cover the grid costs they cause rather than shifting them to other ratepayers. The Utilities and Transportation Commission is currently writing the guidelines utilities must follow when filing their data centre rates and contracts for approval.

Washington's 2027 Data Centre Tariff Mandate — AI data centre infrastructure

Washington's 2027 Data Centre Tariff Mandate

WA

Puget Sound Energy

Pending UTC rulemaking

Regulatory docket / filing reference

All investor-owned utilities, ahead of a 2027 statutory deadline

Who the tariff applies to

All investor-owned utilities, ahead of a 2027 statutory deadline must establish a dedicated data centre tariff or policy by 2027 under Washington state legislation, ensuring large loads cover the grid costs they cause rather than shifting them to other ratepayers. The Utilities and Transportation Commission is currently writing the guidelines utilities must follow when filing their data centre rates and contracts for approval.

Also active in Washington: Puget Sound Energy, the state's largest investor-owned utility, has filed a three-year general rate case with new rates targeted for early 2027 — timed to align with the incoming data centre tariff mandate, though PSE has flagged that the current legislation does not fully address the competitive dynamics utilities face in securing renewable energy for large loads under the state's clean energy mandates.

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 Puget Sound Energy and the relevant state public utility commission before relying on any figure for a capital decision.

Weighing Washington 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 centre cost configurator — it applies each jurisdiction's actual power rate, tax treatment and large-load tariff rules to the same seven build configurations.

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 centre 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.

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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.

Frequently Asked Questions

What is Washington's 2027 Data Centre Tariff Mandate?

All investor-owned utilities, ahead of a 2027 statutory deadline must establish a dedicated data centre tariff or policy by 2027 under Washington state legislation, ensuring large loads cover the grid costs they cause rather than shifting them to other ratepayers. The Utilities and Transportation Commission is currently writing the guidelines utilities must follow when filing their data centre rates and contracts for approval.

Why did Puget Sound 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 centres, is paid for by those customers rather than spread across the general rate base of residential and small commercial ratepayers.

What large data centre projects are already active in Washington?

Puget Sound Energy, the state's largest investor-owned utility, has filed a three-year general rate case with new rates targeted for early 2027 — timed to align with the incoming data centre tariff mandate, though PSE has flagged that the current legislation does not fully address the competitive dynamics utilities face in securing renewable energy for large loads under the state's clean energy mandates.

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

No. Washington's 2027 Data Centre Tariff Mandate sits above Puget Sound 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 Washington data centre build against this tariff and other states?

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