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Republican Governors Support Trump’s Pledge to Protect Ratepayers from Data Center Costs

WASHINGTON — President Donald Trump on Thursday announced the addition of Republican governors, legislators, utility services and tech companies into his voluntary pledge aimed at keeping data center construction and operation costs off the shoulders of American consumers.  The Ratepayer Protection…

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Republican Governors Support Trump’s Pledge to Protect Ratepayers from Data Center Costs

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Key points

  • President Trump announced the Ratepayer Protection Pledge to prevent data center costs from burdening consumers.
  • 23 Republican governors have signed the pledge, promoting lower electricity bills through corporate responsibility.
  • Legislation is also being considered to protect Americans from rising electricity costs associated with data centers.

WASHINGTON — During a recent event at the U.S. Environmental Protection Agency, President Donald Trump announced that a number of Republican governors and tech companies are joining his Ratepayer Protection Pledge. This initiative is designed to prevent the costs associated with data center construction and operations from being passed on to American consumers.

The pledge, originally signed by Trump in March, requires data center companies to cover the costs of any necessary infrastructure upgrades. Major technology firms, including Google, Microsoft, and Amazon, were among the first to support this initiative. The expansion now includes nearly 200 additional stakeholders, including several Republican governors. The agreement aims to transfer the financial responsibility of infrastructure improvements from utility companies to the tech firms operating the data centers.

According to Trump, this move could lead to a decrease in electricity bills for families. He stated, “As new data centers go up, all of the electricity bills for American families will actually come down.” Trump emphasized the importance of these developments for the U.S. economy and its lead in artificial intelligence.

Among the governors supporting the pledge are Jeff Landry of Louisiana and Brian Kemp of Georgia. Each highlighted the potential benefits for their states, with Landry citing a deal with Meta that could save Louisiana $2.6 billion.

However, this announcement comes amid criticisms from some environmental groups. A report from Climate Power claims electricity prices have risen significantly since Trump took office, suggesting that these initiatives may not lead to the promised cost reductions for consumers.

In a related legislative effort, the U.S. House Committee on Energy and Commerce recently passed a bipartisan bill aimed at safeguarding consumers from increased electricity costs linked to data centers. This legislation, known as the Ratepayer Protection Act, seeks to mandate that data center companies cover the costs of their energy use and infrastructure needs.

Despite the support for the pledge, some Democratic lawmakers are advocating for a more restrictive approach, proposing a national moratorium on new data center construction until further evaluations of their economic and environmental impacts can be conducted.

Based on reporting by Amelia Twyman originally published by Stateline. Read the original story.

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