On June 17, 2026, the Delaware House passed two bills designed to protect ordinary consumers from electricity-cost shifting by large facilities such as data centers. Together, HB233 (cost responsibility and rates) and HB445 (power self-supply) set grid-connection conditions in statute.
The figures behind the legislation show the state's situation. Delaware's electricity customers consume about 11.3 million MWh annually; one proposed data-center building is expected to consume 8.7 million MWh per year. A single facility would approach four-fifths of statewide consumption.
For a small state, a large data-center site can affect the grid at an entirely different scale. That structure led to a more far-reaching approach than in many states.
HB233: blocking cost shifting and establishing separate rates
HB233 requires a large energy-use facility to pay all new transmission and distribution infrastructure costs required for it, and the incremental capacity-market costs it causes. Those costs cannot be shifted to residential customers, small businesses, or other general consumers.
It requires utilities regulated by the Public Service Commission (PSC) to establish separate rate structures for these facilities. Regulated utilities must file rate applications within 180 days after the law takes effect.
Facilities must enter electric and transmission service agreements that protect existing customers from future cost shifting. Until those agreements and the new rate structure are approved, interconnection is not allowed. In reviewing rate filings, the PSC applies five criteria, including whether costs for general customers rise, grid reliability is threatened, or state renewable-energy and emissions-reduction goals are impaired.
HB233 was introduced June 30, 2025, replaced by substitute bill HS1 on May 21, 2026, and then passed.
HB445: 100% self-supply of electricity within 10 years
HB445 goes further: it requires large energy-use facilities to produce or procure the electricity needed for their operations. Within 10 years of commencing operations, they must secure new power resources equal to 100% of annual electricity consumption.
HB233: cost responsibility
The facility bears all new transmission and distribution costs and incremental capacity-market costs; shifting costs to general consumers is prohibited.
HB233: rates and connection
PSC-regulated utilities must file separate rates within 180 days. No grid connection until rates and service agreements are approved.
HB445: power self-supply
Within 10 years of operation, facilities must produce or procure new power equal to 100% of annual consumption, with a phased transition.
HB445: transition plan
Facilities unable to self-supply initially must submit a plan showing how generation will increase in stages.
Facilities that cannot self-supply the full amount at the outset must submit a plan for gradually increasing generation. The 10-year ramp-up does not demand immediate full self-supply. HB445 was introduced May 21, 2026, and passed July 1.
The reach of the "large energy-use facility" definition
The notable feature of both bills is that they do not name "data centers"; they regulate through an electricity-consumption definition of large energy-use facilities. Legislative purpose makes data centers the principal expected target, but the definition draws its line by consumption scale.
That drafting could become a reference for other states and countries considering similar rules. It covers not only AI data centers but large electricity-consuming facilities generally, including advanced-manufacturing sites.
For project planning, the interconnection prerequisite has shifted from "is there space on the grid?" to "are compliant agreements and rates in place?" During site selection, the presence and content of state regulatory frameworks becomes an additional determinant of connection timing. The 100%-within-10-years requirement means on-site generation or PPAs must be built into project planning from the beginning.