What the House passed
The US House of Representatives on 16 September passed the Ratepayer Protection Act by 417 votes to 3, a bill meant to stop the cost of powering AI data centres from landing on household electricity bills. It was brought by Representatives Gabe Evans, a Colorado Republican, and Kathy Castor, a Florida Democrat.
According to Castor’s office, the bill requires state utility regulators to set rules so that communities do not pay for the new power plants, transmission lines and other upgrades needed by data centres with demand of 100 megawatts or more. Those facilities would have to cover the full cost through special rates or agreements, and give financial assurances that the bills will be paid.
Roll Call reports that the bill works by amending the Public Utility Regulatory Policies Act of 1978, which requires states to consider adopting federal standards rather than imposing them outright. It passed under a fast-track procedure that needs a two-thirds majority.
Why the vote was so lopsided
Data centres have become a campaign issue ahead of the 3 November midterm elections. An NBC News poll found that about 70% of adults oppose AI data centres being built in their neighbourhood, NBC reports.
“Hardworking families should not have to subsidize the energy demands of data centers,” Evans said. Castor said that if a large technology company builds a big AI data centre, the company rather than local families should pay for the upgrades.
The only votes against came from three Democrats, Summer Lee of Pennsylvania, Delia Ramirez of Illinois and Rashida Tlaib of Michigan. Roll Call says the bill had 35 Republican and 7 Democratic cosponsors, and that the American Iron and Steel Institute dropped its objections after the definition of large-load customers was narrowed to data centres.
What happens in the Senate
The Senate has its own data centre bills but has not advanced any. Senator Jon Husted, an Ohio Republican, sponsors the Senate version. Roll Call reports that Majority Leader John Thune has indicated it could pass before the election, which would require unanimous consent.
That is not assured. Senator Martin Heinrich, the top Democrat on the Senate energy committee, said the House bill “does nothing to meaningfully address” the rising cost of AI data centres, and has introduced his own bill that would require AI hyperscalers to pay for the grid infrastructure they need.
NBC notes that little further legislative action is expected before the midterms. Whether the Senate takes up the House text, Heinrich’s alternative or neither before 3 November is the next thing to watch.
