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Dive Brief:

Microsoft in May filed a proposed Ratepayer Protection Tariff with the Public Utilities Commission of Nevada, seeking to establish a state-jurisdictional framework for allocating the costs of AI-driven data center load growth.

The proposal splits project-specific infrastructure into a Customer Contributed Share, paid by the large-load customer, and a System Benefit Share that can be reviewed for inclusion in utility rate base if it benefits the broader system.

Microsoft said the tariff would support faster grid expansion, provide greater planning certainty for utilities and regulators, and help accommodate growing AI-related electricity demand without increasing bills for residential and small-business customers.