House set to vote on electricity ratepayer bill

House expected to pass data center electricity rate bill

The House on Tuesday night is expected to pass a bill aimed at shielding Americans from increased electricity costs associated with data centers.

The bill requires states to consider taking up standards that would force tech companies to shoulder the electricity cost increases associated with large data centers but doesn’t actually require them to regulate.

The bipartisan Ratepayer Protection Act , sponsored by Reps. Kathy Castor (D-Fla.) and Gabe Evans (R-Colo) is expected to pass under a fast-track process known as suspension of the rules.

The vote comes at a moment of rising backlash to both AI itself and the data centers that power it .

The legislation describes a framework under which facilities that demand a lot of electricity, like large data centers, would be charged a rate that would cover the full cost of any additional power production or electricity infrastructure required to meet their demand so that costs do not fall on the general public.

It does not force state regulators to adopt the framework, but says states must hold a hearing on such a policy within two years of the bill’s enactment.

The bill’s supporters describe it as a solid push that could ultimately spur state-level action to protect consumers.

Critics, however, say it is toothless and may not spur significant changes at a time when AI data centers threaten to drive up electricity costs and destabilize the grid .

Welcome to The Hill’s Energy & Environment newsletter, I’m Rachel Frazin — keeping you up to speed on the policies impacting everything from oil and gas to new supply chains.

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How policy will affect the energy and environment sectors now and in the future:

The U.S. war against Iran is likely to drive up inflation early next year and could cost at least $2 billion a month as long as it continues, according to a new report from the nonpartisan Congressional Budget Office (CBO).

Maine’s two senators are urging the Senate Commerce Committee to take up and advance House-passed legislation that would extend a pause in rulemaking on protections for the right whales in an effort to safeguard the state’s lobster industry.

The Trump administration on Monday gutted the rules governing the nation’s climate regulations for power plants.

News we’ve flagged from other outlets touching on energy issues, the environment and other topics :

Chemours, DuPont, Corteva settle multi-million PFAS lawsuit with NC localities ( Port City Daily )

Oil Executives Say the Great Fuel Crisis Is Here ( The Wall Street Journal )

Upcoming news themes and events we’re watching:

The Senate Energy and Natural Resources Committee will hold a hearing on a variety of bills

The Senate Environment and Public Works Committee will consider various legislation

The House Natural Resources Committee will hold two hearings on bills related to federal lands as well as water, wildlife and fisheries

The House on Tuesday advanced legislation that would grant President Trump tariff authorities on countries who purchase Russian energy and extend existing sanctions on Iran, clearing a major procedural hurdle. Read more

It’s not a topic often discussed in the halls of Congress, but Sen. John Kennedy (R-La.) grilled FBI Director Kash Patel as he said he was just “trying to understand” a recent change in policy regarding bestiality. Read more