Washington, D.C. – Reports indicate that the House is likely to vote tomorrow on the so-called Ratepayer Protection Act, a bill that would ostensibly encourage state regulators to consider making data centers pay for the incremental cost of generation, transmission and distribution to serve their enormous energy needs. In reality, the bill would fast-track the financing, permitting and construction of new hyperscale AI data centers across the country. The legislation would speed construction of data centers, prioritize connection to the existing electric grid, and provide questionable means for companies to claim they are paying for their own power. It also comes amid increasing reports about the threat of AI to the future of humanity and the need to slow down AI development.

In response, Food & Water Watch’s Managing Director of Policy and Litigation Mitch Jones issued the following statement:

“The name ‘Ratepayer Protection Act’ is a gross misnomer. This legislation is little more than a cynical fig leaf for Big Tech. It does nothing to guarantee protection from skyrocketing electricity rates, alarming water consumption and increased fossil fuel pollution that hyperscale data centers are inflicting upon communities across the country. If Congress truly intends to take the AI data center crisis seriously, it must reject this pointless legislation that merely suggests states should act. Instead Congress must tackle this out-of-control industry head-on. We need a complete pause on new AI data centers now.”

In a letter sent to Congress in June, more than 200 advocacy organizations from across the country called for rejection of a package of bills including the Ratepayer Protection Act that would fast-track the financing, permitting and construction of new hyperscale AI data centers across the country. Earlier that month, more than 520 organizations from 48 states called for the enactment of a full nationwide moratorium on the approval and construction of new hyperscale data centers.

Recent research from Food & Water Watch demonstrates how data centers’ claims of willingness to supply their own power through “behind-the-meter” generation is largely a shell game that will leave communities exposed to significant costs and harmful impacts from these huge profit-driven facilities. Supplying electricity from off the grid may allow data centers to avoid initial costs and delays associated with tapping already stressed power grids, yet the public will still face increasing air and water pollution, strains on local water resources, and inflated bills from higher natural gas and electricity prices caused by unfettered data center development.