US Congressional bill would require tech companies to pay AI data center energy costs rather than utilities absorbing them.

The House Energy and Commerce Committee energy subpanel is scheduled to debate and vote on the Ratepayer Protection Act on Wednesday. The bill would require state utilities to consider creating a "large load standard" that would require data center builders to pay for upgrades to the grid needed to power them. The measure would codify parts of the White House's "Ratepayer Protection Pledge."

This represents one of the first attempts by Congress to force tech companies to pay for data centers' massive electricity demand. Amazon, Google, Meta, Microsoft and SpaceX's xAI are among the largest builders and operators of data centers. The initiative comes as voters across the country express dissatisfaction with data centers driving up utility costs.

House Energy and Commerce Chair Brett Guthrie, R-Ky., said: "Families and small businesses across the country shouldn't be left to foot the bill for this new development, though the benefits of these innovations will be felt by all of society. The Ratepayer Protection Act is a bipartisan effort, which would ensure that the costs of grid upgrades are appropriately paid for according to demand."

The bill is sponsored by Representatives Gabe Evans, R-Colo., and Kathy Castor, D-Fla. Evans stated that "Colorado families, farmers, and small businesses should not be forced to cover the costs of new power generation driven by these developments." Castor added that the bill "safeguards consumers by ensuring these data centers pay for the energy and grid upgrades they need so hardworking families and local businesses are not stuck paying more."

The legislation aims to ensure tech companies building data centers cover the cost of new power generation, transmission lines, and other grid-related upgrades needed to serve large-load customers. A number of major tech companies have already signed Trump's pledge, signaling they do not oppose paying for new electricity production to power AI infrastructure.

The bill faces a lengthy legislative path before becoming law. It would need approval from the full Energy and Commerce Committee, the House, and the Senate before reaching Trump's desk.