SMUD discusses serving large data centers amid two major electricity inquiries

The Sacramento Municipal Utility District (SMUD) held a public meeting to discuss how it would serve large electricity customers as two potential data center projects enter feasibility stages, CBS News reported.

SMUD confirmed receiving two inquiries from prospective large-load customers, each seeking more than 50 megawatts of electricity capacity, which is enough to power more than 50,000 homes per inquiry, according to a SMUD spokesperson.

If both projects proceed, they would represent the largest electricity demands among SMUD's 16 data centers. The inquiries come amid community concerns about energy use, pollution, water consumption, and transparency related to large data centers.

SMUD emphasized it has longstanding policies to ensure costs of serving large electricity customers are not passed onto existing ratepayers. The public meeting focused on these principles rather than any specific projects, a SMUD spokesperson told CBS News Sacramento.

One company, Link Logistics, confirmed early conversations with SMUD about the potential use of Depot Park for a data center project but has not submitted any application. The company highlighted its commitment to supporting jobs and economic growth in the community.