Florida GOP lawmaker and governor candidate says AI data center legislation keeps utility costs down
Congressman Byron Donalds introduced federal legislation aiming to require AI data centers to secure private electricity and water, preventing increased utility costs for residents. This proposal aligns with existing voluntary initiatives and Florida's recent state-level requirements, amidst a political backlash against data center growth. The move seeks to address public concerns over rising utility bills, environmental impact, and community disruption.
Congressman Byron Donalds, a Republican candidate for Florida governor, announced new federal legislation designed to prevent artificial intelligence data centers from increasing public utility costs. The proposal mandates that data centers source all their electricity and water from private suppliers, bypassing public grids and water systems. This initiative, which Donalds discussed with The Associated Press, aims to mitigate public concerns about rising utility bills and environmental impacts, aligning with a voluntary program previously supported by former President Donald Trump.
The legislation comes amid a nationwide surge in data center construction to meet AI demand, which has generated significant public concern. In Florida alone, over 20 counties and municipalities have either rejected new data centers or enacted temporary bans, citing fears of utility cost increases, community disruption, and environmental damage. Political strategists, like Matt Gorman, note a bipartisan backlash against unchecked data center expansion, prompting tech firms to proactively address public anxieties or face legislative mandates.
Donalds' proposal echoes actions taken by current Florida Governor Ron DeSantis, who in May signed state legislation requiring large data centers to cover their own energy and water expenses. If elected governor, Donalds plans to focus on data center efficiency and siting them away from population centers, ensuring they are built sustainably while protecting ratepayers and Florida
’s water resources. The debate extends to the gubernatorial race, with fellow Republican James Fishback opposing data centers and leading Democratic candidate David Jolly advocating for a moratorium on new construction.
Travis Fisher of the Cato Institute observed that the tech industry’s willingness to absorb higher utility costs reflects significant political pressure and a fear of "losing their social license to operate."