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OUR PERSPECTIVES

​Data Center Demand Sparks Bipartisan Unity in Congress – But Will It Last?

Writer: Madeline WadeMadeline Wade


Three months into the 119th Congress, AI and data center policy has emerged as a bipartisan issue – for now. The House Energy and Commerce Committee has taken an early interest in how to promote AI use through increasing data centers domestically. While solutions vary on how to do this, so far there has been a broadly bipartisan interest in making sure data center development stays in the United States.


Energy & Commerce Chairman Brett Guthrie highlighted in a Washington Times op-ed that the U.S. will need to double or triple its electricity load growth by 2028 to accommodate the expansion of AI data centers. He emphasized the urgency of increasing energy production, stating, "We are converting energy into intelligence, and this calls for a generational change in how we produce affordable and reliable electricity."


In response to these challenges, the Energy Subcommittee convened a hearing titled "Scaling For Growth: Meeting The Demand For Reliable, Affordable Electricity." The hearings explored the obstacles utilities and grid operators face in delivering dependable and cost-effective electricity amid rising demands from AI data centers and domestic manufacturing. ​

The committee has also held hearings on AI in manufacturing and data and privacy concerns related to AI as part of a broader push to address AI policy. As of now, these are hearings to educate the committee.


At the end of the last Congress, the Bipartisan House Task Force on AI issued a 255-page report with policy recommendations to enhance responsible AI innovation. This included a section on data centers, which many of the hearings have covered with witness testimony and Member questions. 


Overall, committee members on both sides of the aisle have expressed a commitment to fostering a pro-innovation regulatory environment. The focus is on avoiding duplicative and burdensome regulations that could stifle innovation, with an emphasis on permitting reform to expedite energy infrastructure projects essential for AI development. ​


This week, the House Oversight and Reform Committee will hold a hearing on “America’s AI Moonshot: The Economics of AI, Data Centers, and Power Consumption” and the House Natural Resources Committee will hold a hearing on “Unleashing the Golden Age of American Energy Dominance.” While the House Energy and Commerce Committee has taken the lead on considering this issue, this week’s hearings show that the issue is far too comprehensive to be confined to one committee.


Continue to watch for more hearings and legislation on AI and data centers. While the issue is largely bipartisan for now, it will take a lot of work by stakeholders to keep it that way as policies progress. 

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