The U.S. Department of Commerce, together with the Department of Energy, announced on Mar. 20 a public-private partnership with SoftBank and AEP Ohio to redevelop federal land, upgrade energy infrastructure, and develop advanced computing in Southern Ohio. The plan includes building 10 gigawatts of new power generation—9.2 gigawatts from natural gas—to support a large data center at the Portsmouth Site in Pike County, Ohio.
Officials say this initiative aims to lower electricity costs across the region, create thousands of jobs, and enhance national security by supporting technological growth. The project is funded through $33.3 billion in Japanese investment for new natural gas generation as part of President Trump’s U.S.-Japan Strategic Trade and Investment Agreement.
“Our Japanese partnership is a direct result of President Trump's America First trade policies,” said U.S. Commerce Secretary Howard Lutnick. “Japan has committed to invest $550 billion across America. With this historic trade deal we are reindustrializing the country through critical projects like this $33 billion dollar power project in Portsmouth, Ohio. Yesterday we announced additional mega projects in Alabama, Pennsylvania, Tennessee and Texas.”
U.S. Energy Secretary Chris Wright said: “Thanks to President Trump, the U.S. government is leveraging its assets—like our federal lands—to add power generation, create jobs, and ensure the United States wins the AI race... By bringing new power online and upgrading our existing infrastructure, this investment supports the AI boom and cutting-edge technologies while strengthening our energy system and helping keep costs down for the American people.”
SB Energy will invest $4.2 billion with AEP Ohio to upgrade transmission lines at no cost to ratepayers under President Trump’s Ratepayer Protection Pledge; excess capacity will be made available to help lower local utility rates.
Bill Fehrman of AEP said: “AEP Ohio is proud that this partnership will bring critical infrastructure to Appalachian Ohio... This partnership unlocks billions of dollars of electric transmission infrastructure, all without increasing customer rates.” Masayoshi Son from SoftBank Group Corp added: “Our partnership with the Department of Energy strengthens America’s AI leadership... powers the next era of innovation for the United States.”
Assistant Secretary Tim Walsh stated: “This partnership is a major step forward for Southern Ohio’s economic and energy future... advance restoration and revitalization of the Portsmouth site with enormous economic benefit...” Construction on these developments is expected to begin within this year.
Separately,five Arizona tribes will receive $105.8 million from Commerce's Tribal Broadband Connectivity Program as part of efforts under the Internet for All Initiative.
