I read the article past that statement, but saw no reference to regulation or ToS that states this is a violation of any statute or local law -- "far too large"

I read the article past that statement, but saw no reference to regulation or ToS that states this is a violation of any statute or local law -- "far too large" is what, exactly? My problem with that statement is that it doesn't actually answer the question -- it smacks of journalistic supposition and no root facts. I can run two refrigerators, two freezers and an AC unit all day and night and push myself into the top tier of energy usage, being the equivalent of a closet full of computers running 24/7, but all that would do is push myself into the top tier and cost me lots of moolah -- what's the line between authorized and unauthorized?