The US House of Representatives on Wednesday overwhelmingly passed the Ratepayer Protection Act (RPA). It is a bipartisan bill designed to shield residential electricity customers from footing the bill for grid upgrades required by large data centers.
The proposal now moves to the Senate, where its future remains uncertain. If enacted, it would amend the Public Utility Regulatory Policies Act (PURPA) to require states to consider a federal standard ensuring that the largest data centers pay the full cost of new electricity infrastructure built specifically to serve them. Companies would also have to provide financial assurances so communities are not left paying for abandoned or cancelled projects. “But Colorado families, farmers and small businesses should not be forced to cover the costs. Castor echoed that argument. “My neighbors across Florida are grappling with skyrocketing electric bills.
The legislation passed 417-3, making it the first major data center bill approved by the 119th Congress. The proposal comes amid growing public concern over rising electricity bills, with a study revealing that only 11% of Americans would favor an AI data center in their neighborhood, according to Forth News. Under the proposal, data centers consuming 100 megawatts or more would be responsible for paying the additional costs associated with electricity generation, transmission and distribution upgrades built for their operations.
Evans said the legislation seeks to balance AI innovation with consumer protection. “As America races to lead the world in AI, we must build the energy infrastructure needed to support this innovation,” Evans said in an earlier statement. She said that ordinary consumers should not subsidise the growing electricity needs of major technology companies. Ratepayers should not have to subsidize wealthy corporations’ growing energy demands, especially from AI data centers,” Castor said.
