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Large Energy Users Want Power. Here’s How to Protect Other Ratepayers from the Costs.
This report by RMI examines how utilities and regulators in the United States are using large load tariffs to prevent the costs of serving new, high-demand electricity users—particularly data centers—from being shifted to other ratepayers. The analysis of 65 state-level tariffs identifies five common safeguard provisions: minimum contract terms, minimum monthly billing demands, collateral requirements, exit fees, and capacity reassignment.
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Document type: Report
Electric Rates Can Help or Hinder Heat Pump Progress
This policy brief by RMI argues that current electricity rate designs in the United States often overcharge heat pump users, creating a financial barrier to home electrification. The document explains that because many utility costs are driven by summer peak demand, customers who add electricity demand in the winter (via heat pumps) may pay more than the actual cost of service. RMI proposes several rate reform strategies—including seasonal heating rates, time-varying rates, and separate customer classes—to align electricity pricing with actual system costs and support decarbonization goals.
AI-generated
This summary is written by a language model reading the source document. It is not the publisher's words and is not a substitute for the original.
Document type: Policy brief