South Carolina data center and energy laws
What South Carolina has enacted on data center and energy, what each law requires, and what the bills still moving would do. South Carolina is one of 29 states that enacted a data center and energy law in the 2025 and 2026 sessions.
- Bills in scope
- 13bills in scope
- Past committee
- 4past committee
- Most recent action
- 5 June 2026most recent action
Data center and energy laws enacted in South Carolina
3 data center and energy laws enacted in the South Carolina Legislature in the 2025 and 2026 sessions, newest first. Each links to the legislature's own page.
What it requires: Internet access service providers and communications service providers may claim exemptions from sales tax on supplies, technical equipment, machinery, and electricity used in producing, broadcasting, or distributing internet access service or communications services. They must apply to the Department of Revenue for refunds of prior year taxes by January thirty-first. Data centers may not claim these exemptions or refunds.
Tax incentives and clawbacks
What it requires: Governing authorities must not accept, require, or test central bank digital currency. Digital asset mining businesses must not place additional stress on electrical grids and must provide power purchase agreements to the Public Service Commission upon request. Money transmitter licenses are not required for digital asset mining, node operation, blockchain software development, or digital asset exchanges without legal tender conversion.
Grid reliability and load flexibility
What it requires: Electric utilities may elect to have annual rate adjustment procedures apply prospectively by filing notice with the Public Service Commission. Utilities must file quarterly monitoring reports showing actual and pro forma financial data. The Office of Regulatory Staff must review monitoring reports and propose adjustments to bring them into compliance with established procedures.
Large-load tariffs and cost allocation, Siting, zoning and permitting
Data center and energy in South Carolina, by topic
Water, cooling and emissions
7 bills. Enacted in 7 states.
Large-load tariffs and cost allocation
6 bills, 1 enacted. Enacted in 19 states.
Siting, zoning and permitting
6 bills, 1 enacted. Enacted in 8 states.
Tax incentives and clawbacks
6 bills, 1 enacted. Enacted in 11 states.
Grid reliability and load flexibility
2 bills, 1 enacted. Enacted in 11 states.
Data center and energy bills in South Carolina
The bills not yet law, furthest along first, with what each would do.
3Enacted
1Past committee
9Introduced or inactive
13 bills in scope
Past committee
1
What it would do: Enacts the Data Center Development Act, establishing a Data Center Development Office within the Department of Environmental Services to permit and regulate data centers, setting operational efficiency and water use standards, infrastructure requirements, and noise/vibration/light controls while preserving Public Service Commission jurisdiction over electricity rates.
Introduced or inactive
9
What it would do: Prohibits state governmental entities, counties, municipalities, and political subdivisions from accepting or taking action on data center permits or applications until the General Assembly establishes a comprehensive oversight and approval process. Defines data center as a facility with peak demand of five megawatts or greater used primarily for storing, retrieving, or transmitting data.
What it would do: Establishes demand-side pilot programs for low-income customers, requires public notice and comment periods for energy infrastructure projects involving eminent domain, sets terms for commercial data center electric service contracts, requires data centers to report water usage and file decommissioning plans, and requires electrical utilities to offer discounted rates to low-income households subject to Public Service Commission approval.
What it would do: Prohibits South Carolina governmental entities, counties, municipalities, and political subdivisions from granting final approval for applications, permits, incentives, or other requests related to new data centers until January 1, 2028, and defines data center.
What it would do: Establishes requirements for large load customers (minimum 50MW peak demand) to enter into commission-approved contracts with electrical utilities ensuring ratepayer neutrality, prohibits cost-shifting to other customer classes, requires financial security, and mandates public hearings, water resource plans, and annual reporting.
What it would do: Requires data centers over 5,000 square feet in South Carolina to operate with complete on-site energy independence, use closed-loop cooling systems with zero water discharge, maintain $50 million liability insurance, employ one full-time on-site employee per 1,000 square feet, and prohibits them from receiving any taxpayer-funded incentives or subsidies.
What it would do: Enacts the Data Center Siting Act requiring data centers with one megawatt or more connected electrical load to obtain Public Service Commission certificates before operating, establishing tiered review processes, operational and water efficiency standards, infrastructure adequacy requirements, and enforcement provisions.
What it would do: Amends the sales tax exemption for certain datacenters to include persons who bear a relationship to the taxpayer as described in Section 267(b) of the Internal Revenue Code.
What it would do: Amends energy and tax laws to establish demand-side pilot programs, require public comment periods and landowner notice for energy infrastructure projects involving eminent domain, set terms for commercial data center electric service contracts, require data center water usage reporting, and impose May 30, 2025 deadlines for certain computer equipment and electricity sales tax exemptions.
What it would do: Requires commercial data centers consuming three million or more gallons of water monthly to report annual water usage to the Department of Environmental Services by January 31st, and establishes civil penalties up to ten thousand dollars per day for late filing or ten thousand dollars for inaccurate information.
Bill titles link to the South Carolina Legislature's own page.
What counts as data center and energy legislation
In scope: Large-load tariffs and cost allocation; siting, zoning and permitting; tax incentives and clawbacks; on-site and co-located generation; water, cooling and emissions; and grid reliability and load flexibility.
Questions
Does South Carolina have a data center and energy law?
Yes. South Carolina enacted 3 data center and energy laws in the 2025 and 2026 sessions, among them H 5122, S 163 and H 3309. Each is listed on this page with what it requires.
Which data center and energy bills are moving in South Carolina?
1 bill not yet law has passed a committee or a chamber, the furthest along S 867 (passed committee).
What does South Carolina legislate on most in data center and energy?
Water, cooling and emissions (7 bills), Large-load tariffs and cost allocation (6 bills) and Siting, zoning and permitting (6 bills).
Are these summaries reviewed by a lawyer?
No. Which bills count as Data center and energy bills, and the line on what each law requires or each bill would do, are drafted by software from the bill's own text and not reviewed by an attorney. Every bill links to the legislature's own record: read the text before relying on it. The list covers bills from the 2025 and 2026 sessions.
Other practice areas in South Carolina
- AI in South Carolina15
- Alcohol in South Carolina27
- Cannabis in South Carolina15
- Children's Online Safety in South Carolina15
- Cybersecurity in South Carolina3
- Data Privacy in South Carolina25
- Employment in South Carolina23
- Healthcare in South Carolina51
- Insurance in South Carolina86
- Intellectual Property in South Carolina6
- Packaging and PFAS in South Carolina5
- Payments and fintech in South Carolina8
- Rental housing in South Carolina19
- Tobacco and nicotine in South Carolina5
- Transportation in South Carolina6
- All jurisdictions
Data center and energy legislation in other jurisdictions
49 more currently hold bills in this tracker
- Virginia83
- New Jersey68
- Congress61
- Pennsylvania38
- Michigan35
- Illinois23
- West Virginia22
- Maryland21
- New York19
- California16
- South Dakota14
- Minnesota13
- Oklahoma13
- Georgia12
- Indiana12
- Iowa11
- Montana11
- Ohio11
- Tennessee11
- Texas11
- Arkansas9
- Arizona9
- Connecticut9
- Idaho9
- Louisiana9
- North Carolina9
- Nebraska8
- Utah8
- Wisconsin8
- Delaware7
- Kentucky7
- Washington7
- Kansas6
- New Hampshire6
- Colorado5
- Florida5
- Missouri5
- Massachusetts4
- North Dakota4
- Rhode Island4
- Vermont4
- Maine3
- Oregon3
- Alaska2
- Alabama2
- Hawaii2
- Mississippi2
- New Mexico2
- Wyoming2
Know when South Carolina's data center and energy law changes
An alert when a bill moves, and one report a month on what changed in every state and Congress.