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House Passes Data Center Energy Cost Bill

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The House overwhelmingly passed a bipartisan bill directing state utility regulators to consider rules requiring data centers to cover higher energy costs, though it cannot compel compliance. Introduced by Representatives Gabe Evans and Kathy Castor, the measure aims to protect ratepayers from rising electricity costs tied to data centers as AI development accelerates. The vote 417-3 reflects growing concern over AI's impact on energy prices and water use.

The bill would need Senate approval and President Trump's signature to become law. It mirrors a voluntary pledge by tech executives to shoulder more energy costs. Representative Steve Scalise said it protects ratepayers while supporting AI infrastructure.

The legislation comes as lawmakers seek campaign-ready achievements on AI regulation, with Speaker Mike Johnson planning a meeting with AI executives at the White House. The vote represents a shift from a year ago when House Republicans backed a moratorium on AI regulation.