The House Committee on Energy and Commerce passed H.R. 9340, the Ratepayer Protection Act, by a vote of 52-0 on July 21. The legislation would require state public utility commissions to consider strategies ensuring that data centers pay for their own infrastructure needs rather than passing those costs onto consumers.
Chairman Brett Guthrie said, “We have met with numerous stakeholders, including the data center industry and big tech, state regulators, utilities, and others. But it has become clear that across the entire industry there is one entity uniquely positioned to stand up for families and communities who are the ones paying electricity bills—and that is this Committee, and our colleagues in Congress. The Ratepayer Protection Act will ensure that data centers pay their own way, instead of passing costs onto hardworking families. Thank you to Congressman Gabe Evans for leading this vital legislation that will protect Americans from rising electricity costs while ensuring the United States is positioned to win the race for AI dominance.”
Chairman Bob Latta said, “This legislation protects American ratepayers from being forced to cover the cost of energy infrastructure upgrades needed to support data centers. I was proud to support this bipartisan legislation as we continue to strengthen America’s leadership in the AI race against Communist China while ensuring hardworking families and local communities aren’t left footing the bill. Numerous states already have large load tariffs in place for data centers, including Ohio. I urge the House to bring the Ratepayer Protection Act to the floor as soon as possible so we can get this commonsense legislation across the finish line.”
Representative Gabe Evans said, “America must build the energy infrastructure necessary to win the global AI race and outcompete adversaries like Communist China—but hardworking families should never be forced to subsidize that growth through higher electric bills. This bipartisan commonsense legislation ensures the companies creating new demand for electricity pay for the infrastructure they require—not Colorado families, farmers, seniors, and small businesses. I’m proud to see the swift advancement of the Ratepayer Protection Act through committee, and I look forward to its final passage in the House.”
The bill would amend Section 111(d) of PURPA by requiring each state regulatory authority to consider establishing a large-load standard so electric utilities recover full incremental costs associated with serving large-load customers—defined as non-residential users with peak demand of at least 100 megawatts—and provide financial assurances covering such upgrades.
The House Energy and Commerce Committee focuses on areas such as energy policy innovation and consumer protection; it stands among Congress’s oldest standing committees since its formation in 1795, as noted by the official website.