President Donald Trump on Thursday participated in a roundtable discussion about the expansion and success of the “Ratepayer Protection Pledge,” which is an initiative aimed at having companies cover costs of rising energy prices due to further data center expansion.
At the Environmental Protection Agency, he was joined by Energy Secretary Chris Wright, CEOs of energy and technology companies and several Republican governors, including Govs. Brian Kemp of Georgia, Jeff Landry of Louisiana, Brad Little of Idaho and Jim Pillen of Nebraska.
“Under this groundbreaking plan, America’s largest tech companies have formally committed to fund or build all energy infrastructure required to meet the demand they are placing on the grid,” Trump said Thursday.
“We’re building more buildings now, plants, and all sorts of manufacturing capability,” he added. “We’ve never done anywhere near it ... and companies are pouring in.”
Trump applauded the companies that were signing up for the initiative and the Republican governors who were also on board.
The Ratepayer Protection Pledge was introduced by Trump in March.
As part of the Trump administration’s effort to bring manufacturing to the United States and instead of abroad, the pledge called on companies to protect American consumers from price hikes due to the continued growth and development of data centers.
The administration said it was seeking agreements with Big Tech companies that would help cover the costs of increased power in areas where data centers were being developed.
They would “satisfy their new energy demands” by paying the full cost of the resources “whether by building, or buying from, new or otherwise additive power plans.”
Under the pledge, the companies have agreed to invest in local communities in which data centers are being built. This includes hiring employees from those communities.
The roundtable Thursday detailed the expansion of the pledge and how many answered the administration’s call.
The White House shared a fact sheet noting that more than 200 organizations have committed to the pledge across “every stakeholder in the U.S. power system.” Those organizations will cover roughly 80% of the power delivered to American homes and businesses.
“Data center infrastructure is the foundation of modern American life — from the internet and cloud computing to hospital records and 911 dispatch. As that infrastructure scales, so does the electricity it needs — and, without safeguards, so do the utility bills of ordinary Americans who had nothing to do with driving that demand," the White House said explaining the reasoning behind the pledge.
The continued development of data centers across the country has been met by mixed reviews, particularly over the environmental and water impacts that the centers have on local communities.
Still, the White House pointed out that it’s not just artificial intelligence that needs data centers, every part of modern American life with modern technology and demands need a data center, including Netflix, Google Maps, air traffic control and more.
“This isn’t all negative stuff. You have communities that really want the data centers, and frankly, those are smart communities because it means tremendous numbers of jobs,” Trump said.
EPA Administrator Lee Zeldin was also in attendance. He spoke about how the U.S. must win the artificial intelligence race.
“Hardworking American families should not have to pay for it,” he said.
