House passes bill requiring AI data centers to cover full cost of new power infrastructure

The U.S. House of Representatives on Wednesday passed a bill by a 417-3 vote that would require state utility regulators to consider standards making AI data centers pay the full cost of new electricity and transmission upgrades needed to serve them.

Supporters described the legislation as a modest first step to shield families and businesses from higher utility bills, while preserving state authority over electricity markets. Rep. Frank Pallone, the ranking Democrat on the House Energy and Commerce Committee, said the bill is only the beginning of congressional focus on these issues.

The bill's sponsor, Rep. Gabe Evans of Colorado, said the U.S. must build out its power systems to meet demand or risk relying on countries like China for digital infrastructure. House Speaker Mike Johnson said the bill strikes the right balance between protecting local communities and keeping America at the forefront of AI development.

Some lawmakers have called for a full moratorium on AI data centers until safeguards ensure AI is safe and effective and data centers do not raise utility prices or harm the environment. More than 100 Democrats this week signed a letter urging House Speaker Mike Johnson to keep the House in session until Congress advances meaningful AI safeguards. A new AP-NORC and University of Chicago Energy Policy Institute poll found nearly two-thirds of Americans are extremely or very concerned about data centers' impact on energy prices, and 57% are extremely or very concerned about water supplies.