The Wisconsin Public Service Commission has reviewed We Energies’ Very Large Customer (VLC) and Bespoke Resources Tariff application and issued a decision that modifies provisions relating to the energy-related costs data centers pay.

The Commission does not regulate the permitting, construction, or operations of data center facilities. In March 2025, We Energies submitted an application proposing the new tariffs in response to large data center customers entering the utility’s service territory. The PSC conducted a year-long review of the tariff application, which included analysis by PSC staff and intervening parties and a public engagement process. In its decision, the Commission made modifications to the tariff. Following is a non-exhaustive list of actions taken by the PSC:

• The Commission extended the VLC tariff minimum initial term length to 15 years. • The Commission lowered the energy demand threshold for tariff eligibility from 500 MW to 100 MW. This change expands tariff applicability to smaller data centers. • The Commission required tariff revisions relating to transmission costs. • The Commission removed a capacity-only option that would have allowed data centers to pay 75 percent of the costs of generating facilities. The removal of this capacity-only option and the approval of the Full-Benefits resource model will require data centers to pay 100 percent of their costs. • The Commission established additional reporting requirements to evaluate how the tariffs work in practice and created a mechanism for the Commission to make future adjustments if needed.