The bipartisan Ratepayer Protection Act, intended to shield consumers from soaring electricity prices amid the datacenter boom, would fail to meaningfully protect the public, consumer advocates warn.
The bill, backed by some in big tech such as Microsoft, moved through a House subcommittee in mid-June, but a full committee vote scheduled for July 1 was delayed.
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Its measures are largely voluntary, meaning state utility commissions that set electric rates can ignore the law altogether.
The legislative package also includes benefits for big tech that would speed datacenter construction, prioritize grid connection, and open loopholes allowing companies to claim they are paying for their own power, said Jim Walsh, policy director with Food and Water Watch.
“They’re taking care of utilities and taking care of datacenters and the bill is posing as a consumer protection measure when in reality it will increase costs on consumers across the board,” Walsh said.
Rising Costs and Limited Protections
Regions with higher numbers of datacenters have seen electricity costs spike by 267% over the past five years.
About 200 new datacenters have been built in the last three years to house AI infrastructure, with dozens more proposed across the US.
The Federal Reserve found an average 6% increase in wholesale prices related to datacenters, and as high as 50% in some areas.
Beyond driving up residential electric costs, the centers often use high volumes of water, pollute, strain local infrastructure, and inflict other costs on the public.
