The peak electrical demand threshold at which South Dakota's new data center regulations kick in, after Gov. Larry Rhoden signed legislation Tuesday placing new limits on the industry. Data centers at or above that level must demonstrate their water use does not overburden local resources, cover the electrical infrastructure costs attributable to their operations and can’t hide behind state pre-emption to override local ordinances restricting or prohibiting them. The law emerges from a contentious legislative session in which economic developers and some lawmakers pushed unsuccessfully for major industry incentives, including a proposed 50-year sales tax exemption on equipment and software purchases.
