GOP govs join Trump pledge designed to shield ratepayers from data center costs
President Trump announced an expansion of the Ratepayer Protection Pledge, aiming to shift data center infrastructure and electricity costs from consumers directly to tech companies. This pledge, supported by 23 Republican governors and major tech firms, is complemented by a bipartisan federal bill and state-level actions, including a new law in Florida and an AI data center ban in New York. The initiative seeks to lower consumer electricity bills and secure the U.S. lead in AI.
President Donald Trump announced an expansion of the voluntary Ratepayer Protection Pledge, a national initiative requiring data center companies to pay for new infrastructure and generation resources serving them, rather than shifting costs to consumers. Initially signed by Trump in March, the pledge now includes 23 Republican governors, legislative leaders, utility services, and major tech firms like Google, Microsoft, Meta, Oracle, xAI, OpenAI, and Amazon. The goal is to lower American families' electricity bills and strengthen the U.S. lead in artificial intelligence.
Several Republican governors, including Jeff Landry of Louisiana, Brian Kemp of Georgia, Jim Pillen of Nebraska, and Brad Little of Idaho, joined Trump to promote their commitment to the pledge. Notably, Florida's Ron DeSantis, New Hampshire's Kelly Ayotte, and Vermont's Phil Scott declined to sign. In related state-level actions, Florida Governor DeSantis signed a law requiring data center companies to pay for their own utilities, and New York became the first state to impose a ban on AI data centers.
On the federal front, the U.S. House Committee on Energy and Commerce unanimously passed a bipartisan Ratepayer Protection Act, sponsored by Reps. Gabe Evans (R-CO) and Kathy Castor (D-FL). This bill would require state utility regulators to consider mandating data centers pay for their electricity and infrastructure. The Data Center Coalition, representing major industry players, supported an earlier, broader version of the bill but opposed the final version that specifically targeted data centers. Additionally, some Democratic lawmakers, including Rep. Alexandria Ocasio-Cortez (NY) and Sen. Bernie Sanders (VT), have introduced parallel bills for a nationwide AI data center moratorium.
An environmental advocacy group, Climate Power, countered Trump's claims, releasing a report alleging an 18% average spike in electricity prices since he took office. Speakers at Trump's roundtable, including U.S. Energy Secretary Chris Wright and EPA Administrator Lee Zeldin, emphasized that the pledge and related efforts are crucial for the U.S. to win the AI race against China.