Policymakers Target AI Data Centers Over Grid and Costs

The Trump administration is expected to call on major U.S. technology companies and data center developers to voluntarily commit to a compact to ensure power-needy data centers do not raise household electricity prices or undermine grid reliability.

• Main announcement: The draft compact would ask participating companies to pay 100% of new power generation costs, fund transmission upgrades, enter long-term electricity contracts, use noncritical backup generation for grid stability, and allow curtailment of data center loads; the pact would also apply to leased/colocated capacity, meaning companies leasing space could not avoid commitments.
• Background and additional details:More than 40 states have enacted or are considering data center laws; examples include Texas SB 6 (large load framework; 75 MW threshold; PUC may lower threshold and may order emergency load reductions), Oregon POWER Act / H.B. 3546 (requires large users of 20 MW+ to buy from state-regulated utilities for 10 years and pay for needed infrastructure), and the proposed federal GRID Act (would require new data centers with 20 MW+ demand to obtain power off-grid with a 10-year off-ramp). Troutman Pepper Locke is hosting a three-part webinar series on these dynamics in 2026 (dates/times not specified in the article).