House passes bill to make data centers pay all electricity infrastructure
The U.S. House of Representatives has passed H.R. 9340, known as the Ratepayer Protection Act. This legislation aims to prevent electricity cost increases for local communities by mandating that state regulators ensure data center companies bear the full cost of their electricity infrastructure use. The bill, which applies to data centers drawing over 100 MW, now proceeds to the U.S. Senate for consideration.
The U.S. House of Representatives recently passed H.R. 9340, designated the Ratepayer Protection Act, a significant piece of legislation aimed at regulating electricity costs for data centers across the nation. Introduced by Rep. Morgan Griffith (R-VA9) and Rep. Ben Cline (R-VA6), the bill seeks to compel state utility commissions to ensure data center companies bear the full financial burden of their electricity infrastructure usage.
The legislation specifically targets large-load data centers, defined as those consuming more than 100 MW of power, by directing all state utility commissions to initiate proceedings on their electric rates and operational rules. Proponents argue this measure is crucial for protecting local communities from potential electricity rate hikes that could result from the substantial energy demands of these facilities. The bill has now advanced to the U.S. Senate, where it awaits further deliberation and a potential vote.