Senate Minority Leader Chuck Schumer (D-N.Y.) on Tuesday called the Republican-backed Ratepayer Protection Act “optional” and “toothless,” arguing that it fails to impose binding safeguards as AI data centers drive higher electricity demand.
Schumer Calls Data Center Bill Optional, Toothless
“Americans are demanding real guardrails on AI and data centers, but all Republicans offer is a toothless messaging bill,” Schumer said on the Senate floor. “The bill is a fraud. I can sum up the shortcomings of Republicans’ data center bill with one word: optional.” He later accused Republicans of seeking an “ineffectual participation trophy.”
The House passed H.R. 9340 by 417-3 on Sept. 16 after lawmakers had moved to address household electricity costs tied to the data-center boom. The measure would establish a federal standard under which state regulators would consider requiring large-load customers with at least 100 megawatts of peak demand to cover the full incremental cost of generation, transmission and distribution upgrades needed to serve them.
However, the bill requires state regulators to consider that standard and make a determination within two years rather than compel states to adopt it.
Senate Fight Shifts To Data Center Costs
Sen. Martin Heinrich (D-N.M.) blocked Sen. Jon Husted’s (R-Ohio) attempt to clear the legislation by unanimous consent and instead promoted his GRID Savings Act, which would direct federal regulators to require large-load customers to pay for facilities needed to connect them to the grid.
Husted calls his measure “the most meaningful bipartisan step Congress could take” to protect consumers from higher electricity prices. President Donald Trump has also discussed advancing the bill with Senate Majority Leader John Thune (R-S.D.), as Republicans emphasize affordability ahead of November’s midterms.
AI Power Demand Raises Stakes For Ratepayers
The debate comes as AI infrastructure reshapes U.S. power demand. Lawrence Berkeley National Laboratory estimates data centers could consume 11.8% of U.S. electricity by 2030, with scenarios ranging from 9.5% to 15.3%. The EIA, in a press release this month, said it expects electricity generation to rise 2.2% to a record level in 2026, citing data-center development as a major driver.
The White House has separately expanded its voluntary Ratepayer Protection Pledge, under which technology companies and power providers commit to preventing data-center infrastructure costs from shifting to households.
“A guardrail that is optional isn’t a guardrail at all,” Schumer said, urging Republicans to pursue “meaningful action” rather than what he described as “hollow proposals.”
Photo courtesy: Ron Adar / Shutterstock.com
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