Ocasio-Cortez Secures Department of Energy Study On Impact of AI Data Centers on Americans’ Electric Bills

The FY 26 Energy and Water Appropriations Act includes a study on demand response and load flexibility, two potential solutions to ease the energy and cost burdens of AI data centers on consumers and prevent blackouts

Washington, D.C. - After the House passage of the FY 26 Energy and Water Appropriations Act, Representative Alexandria Ocasio-Cortez (NY-14) announced that the appropriations bill included her request to study the impact rapidly expanding AI data centers would have on utility bills for consumers.

“Electric bills across the country are already skyrocketing, and increased energy demand from Big Tech data centers may only make it harder for people to afford their electric bills and keep the lights on. I’m glad the Appropriations committee passed our request to study the impact these data centers will have on Americans’ electric bills, as well as potential solutions to take the cost off consumers and prevent blackouts,” said Representative Ocasio-Cortez. 

In April, Representative Ocasio-Cortez and Representative Kathy Castor (FL-14) led 14 of their colleagues in a letter to the Appropriations Committee asking for the inclusion of the study.

Cryptocurrency companies and artificial intelligence bots like ChatGPT, Grok, and Google Gemini are powered by data centers that require massive amounts of electricity to operate. Data centers are estimated to account for 44% of new U.S. electricity demand by 2028, requiring expensive upgrades to the U.S. electric grid and driving up electricity rates. By 2030, electric bills are on track to rise an average of 8% nationwide to cover the costs of expanding the grid to keep up with these data centers.

Load flexibility and demand response programs represent one possible solution to minimizing the impacts of new data centers on consumers. These programs enable the facilities to temporarily reduce their electricity consumption during periods of high electricity demand – such as hot summer days – by using on-site generators, shifting workload to other facilities, or scaling back operations to prevent blackouts.

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