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DOE To Study Impact Of AI Data Centers On American Electric Bills

Data Center General
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U.S. Rep. Alexandria Ocasio-Cortez requested a study on the impacts of the rapid development of data centers on consumer utility bills.

Ocasio-Cortez announced that the appropriations bill included her request after the House passed its fiscal year 2026 Energy and Water Appropriations Act, she announced in a Thursday release. In April, Ocasio-Cortez and Rep. Kathy Castor wrote a letter to the Committee on Appropriations asking to include the study in the bill. 

Ocasio-Cortez laid out two possible solutions to the problem: load flexibility and demand response programs to minimize the impacts of new data centers. The programs could help temporarily reduce electricity consumption during peak demand periods by using on-site generators, shifting workload to other facilities or scaling back operations to prevent blackouts.

“Electric bills across the country are already skyrocketing, and increased energy demand from Big Tech data centers may only make it harder for people to afford their electric bills and keep the lights on," Ocasio-Cortez said in a statement. "I’m glad the Appropriations Committee passed our request to study the impact these data centers will have on Americans’ electric bills, as well as potential solutions to take the cost off consumers and prevent blackouts."

With the unprecedented jump in data center development, the cost of electricity for these projects is expected to jump over 1,000% during times of peak demand within the territory of the country's largest grid operator. 

Electric bills in the area, which spans 13 states in the mid-Atlantic and Midwest, are anticipated to grow over 60% over the next five years.

Data centers accounted for 63% of the price surge in 2025 and 2026, according to a June Monitoring Analytics report. By 2030, electric bills are expected to rise an average of 8% nationwide in order to cover the costs of keeping up with the rise in data center development.

As more cryptocurrency and artificial intelligence companies require power from data centers, the centers are estimated to account for 44% of the new U.S. electricity demand by 2028. These projects will require billions of dollars of investment into infrastructure improvements and upgrades.