https://thehill.com/policy/energy-environment/5624407-trump-ai-data-centers/amp/The Trump administration’s data center push is spurring concerns about energy prices and environmental impacts.
The administration has embraced data centers, which house the computers and infrastructure used by tech companies, including for artificial intelligence, as well as the AI they power.
White House officials argue it’s important for the U.S. to win the global “AI race” and outcompete rivals including China in the emerging tech space.
Just this week, President Trump announced a new initiative seeking to expand AI’s use in scientific research. The administration is also considering a move to block “onerous” state-level regulations on AI.
Earlier this year, the administration also floated shielding data centers from environmental impact scrutiny and fast-tracking approvals of the centers and associated energy projects as part of its AI framework.
And they are not alone. Many Democrats and Republicans alike have expressed support for the build-out of data centers, though Democrats have been more likely to back some restrictions on the technology.
Experts say that technology and data centers are expected to have massive impacts on the electric grid in the years ahead.
“Utilities are expecting a lot of this load to land around 2030,” said Ben Hertz-Shargel, who leads research about the electric grid at Wood Mackenzie.
“That is the period when the reliability uncertainty will come to a head, and that’s when things will get tighter. So I think it’s that time frame … of three to five years from now that we’re looking at to start seeing the material cost and potentially reliability impacts of AI demand,” Hertz-Shargel said.
Electricity prices are also relatively high at the moment. In September, electricity prices were about 5.1 percent higher than they were a year ago, outpacing general inflation, which was at 3 percent.