Tech companies are reportedly resisting efforts to turn the promise into law in California, though.
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Watch On Trump first revealed this promise in late February during the State of the Union address and then hosted some of the biggest AI hyperscalers — including Meta, Amazon , and OpenAI — in the White House a week later to force them to spend on their own power requirements. This was supposed to help bring electricity costs down, with Energy Secretary Christ Wright saying back in March that it “will deliver more affordable, reliable, and secure energy for the American people.” The president repeated this promise during the event, saying, “Electricity bills for American families will actually come down. They’re going to have a lot of electricity left over, and they’ll put that into the grid.”
Unfortunately, the March promise had little to no effect on electricity rates across the country at the moment. Despite the White House’s promises that the pledge would lower utility bills, PJM Interconnection, the nation’s largest power grid operator, slapped Maryland with a $2-billion bill for upgrading its grid to accommodate out-of-state AI data centers. Monitoring Analytics, an independent watchdog monitoring PJM Interconnection, also said that the 75.5% increase in power costs in the U.S.’s largest power region has been directly caused by data centers .
It’s unclear if these cost increases are the long-term effects of the AI build out even before the White House pledge, but it seems the administration is doubling down on it by asking states, utility companies, and data center developers to commit to it, too. Trump has been pushing for the acceleration of the adoption of AI tools and the infrastructure needed to support them, believing that it needs to win in the “AI race” to maintain its global supremacy, especially as China is neck-and-neck with the U.S. when it comes to the technology.
However, the American public is pushing back against these developments, especially as issues impacting electricity costs, water quality, noise pollution, and more that were caused by data centers are widely reported. It has gotten to the point that several jurisdictions have applied temporary bans on data center developments , including Seattle (which plays host to Amazon and Microsoft) and the state of New York . These developments threaten to derail the current administration’s AI policy, which has ordered grid operators to expedite AI data center applications .
AI data centers trigger massive 'irreversible' 76% electricity price spike in largest US region
Maryland citizens slapped with $2 billion grid upgrade bill for out-of-state AI data centers
US energy regulator to order grid operators to expedite AI data center applications — says projects should bring their own power or cut usage during high demand
The ratepayer protection pledge will supposedly allow the U.S. to have its data centers without punishing the common American with excessive electricity cost increases, but its critics say that it’s just a promise and cannot be legally enforced. The Associated Press says that California is trying to pass legislation that will codify these promises into law.
Oregon is the only state at the moment to have passed a law that forces developments that use more than 20 megawatts of power to pay their fair share. The POWER Act, which was passed in April 2025 — almost a full year before Trump announced the ratepayer protection pledge — forces the power bills of large electricity consumers to “reflect the true costs of their electric service.” Because of this, Portland General Electric (PGE), the state’s largest power supplier, has increased the data center power bills by 30% while also cutting residential costs by 1.3%.
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Reference reading
- https://www.tomshardware.com/tech-industry/policy/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/policy/president-trump-expands-ai-data-center-ratepayer-protection-pledge-to-include-state-governors-and-utility-companies-white-house-claims-this-will-make-electricity-more-affordable#main
- https://www.tomshardware.com/subscription
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