House Passes Bipartisan Bill to Prevent AI Data Centers From Driving Up Consumers’ Energy Bills
The U.S. House of Representatives overwhelmingly passed the bipartisan Ratepayers Protection Act, aiming to prevent consumers from bearing the costs of power infrastructure upgrades for new AI data centers. The legislation mandates that technology and data center companies should fund these upgrades. This bill was passed amid growing public opposition to data centers and concerns about their energy demands.
The U.S. House of Representatives has overwhelmingly approved bipartisan legislation, known as the Ratepayers Protection Act, which aims to shield consumers from increased energy costs associated with the construction of new data centers. The bill, which passed by a vote of 417-3, mandates that technology and data center companies, rather than ordinary consumers, should cover the cost of power infrastructure upgrades required to support their new facilities. Representatives Gabe Evans (R-Colo.) and Kathy Castor (D-Fla.), both members of the House Energy and Commerce Committee, introduced the measure.
The legislation's central objective is to provide a federal standard for state utility regulators when developing rules that require large, energy-intensive data centers to pay for electricity generation, transmission lines, and other necessary infrastructure improvements. Rep. Evans stated that hardworking families should not subsidize the energy demands of data centers, emphasizing the need for AI infrastructure without burdening citizens.
The bill's passage comes amidst growing public opposition to data centers and their perceived impact on local communities, particularly regarding energy consumption and costs. A recent NBC News poll indicated that nearly 70% of respondents opposed constructing AI data centers in their neighborhoods. While some progressive Democrats, like Reps. Summer Lee (Pa.), Delia Ramirez (Ill.), and Rashida Tlaib (Mich.), voted against the bill, arguing it didn't go far enough—with Tlaib calling for a national moratorium—many other Democrats supported it as a necessary, albeit minimal, step.
Despite its passage in the House, further congressional action on the bill is uncertain, as the Senate has introduced its own data center proposals but none have advanced. The timing of the vote was significant, occurring during the final week of House sessions before the midterm elections, with data center energy costs having become a prominent campaign issue in competitive districts.