Overview
- The House Energy and Commerce Committee approved the Ratepayer Protection Act by a 52-0 vote on Tuesday, sending the measure to further House consideration.
- The bill directs states to consider a federal standard that would require data centers consuming over 100 megawatts to pay the full incremental costs for new generation, transmission and distribution needed to serve them.
- Lawmakers narrowed the proposal during markup so it targets data centers specifically rather than a broader set of large energy projects.
- Critics, including some Democrats, say the legislation leaves major environmental concerns unaddressed, especially data center water use in drought-prone Western states.
- The measure formalizes a White House approach that tech firms pledged in March and could shift costs away from households and small businesses while prompting more state rules, reporting and local moratoria as data center demand for power rises.