Pallone Supports National AI Data Center Moratorium

U.S. Representative Frank Pallone, Jr. (NJ-06), Ranking Member of the House Energy and Commerce Committee, advocated for a national moratorium on AI data center development during a subcommittee markup. He warned that current legislative actions are insufficient to address the rapid expansion of data centers and their growing impact on the U.S. electric grid, air, water, and consumer utility bills. Pallone stated that data center electricity consumption could account for over 15 percent of U.S. electricity demand by 2030, which is already causing strain on the power grid and increasing consumer costs.

Pallone emphasized that Congress must take more aggressive action in response to widespread public concern and opposition to data center construction across the country. He cited several towns within his New Jersey congressional district, including Asbury Park, Red Bank, Old Bridge, Sayreville, and New Brunswick, as examples where residents and local officials have successfully pushed back against or halted data center projects through local moratoriums or community opposition.

He urged Congress to follow these local examples, stating that families should not face rising power bills due to data center growth. While supporting incremental reforms currently under consideration, Pallone concluded that developers must be held accountable to prevent consumers from bearing the financial burden.