Ohio Democratic congressman introduces bill requiring data centers to pay their own way

“I don’t think anyone has any real faith that there’s going to be movement on this in Ohio,” he said. “If there is, that’s great. Either way, you need a federal framework for managing these data centers and protecting communities.”President Trump bragged during his state of the union address about securing a “ratepayer protection pledge” from tech companies.“We’re telling the major tech companies that they have the obligation to provide for their own power needs.” Trump said. “They can build their own power plants as part of their factory, so that no one’s prices will go up.”But Landsman contends a promise isn’t good enough.“You’re either with Big Tech or with our towns,” he said in a release. “A handshake and a promise from these tech companies is not enough. That’s why we’re leading the data center effort to make sure they pay, and that they negotiate their deals in public – no more NDAs.”Still, Landsman’s plan would mean a dramatic increase in the role federal regulators play in setting utility rates for data centers. Ohio’s consumer watchdog worries that might make it difficult for the average ratepayer to make their voice heard. How the bill works Landsman’s proposal applies to data centers pulling more than 50 megawatts of power at peak demand. For context, in 2022, the average U.S. home needed a little less than 1 megawatt to keep the lights on for an entire month.Connecting such a power-hungry facility to the grid isn’t as simple as plugging in a new a toaster or lamp. Landsman tasks the Federal Energy Regulatory Commission with managing the process. The measure directs the commission to charge the “full costs of constructing, upgrading, and expanding” the power grid to new data centers.In a written statement, Ohio Consumers’ Counsel Maureen Willis praised the provision as a “core-consumer protection principle,” ensuring ordinary ratepayers aren’t forced to pay for the “extraordinary infrastructure costs associated with data centers.” Data center owners would be on the hook for the poles and wires running to their own facilities, as well as the physical infrastructure necessary to make sure the broader power grid remains reliable for other customers. Facility owners would also have to help shoulder the cost for new power generation to meet added demand. All those costs would get applied to the rates they pay for power, and the measure prohibits utilities from shifting costs to other consumers.