John James
09/17/2026 | Press release | Distributed by Public on 09/17/2026 14:39
James: Families should not have to pay higher electric rates due to data centers
WASHINGTON, D.C. - Rep. John James voted on Wednesday for legislation to help ensure that companies profiting from data centers are the ones paying the cost of the electric grid upgrades needed to power them.
"Families should not have to pay higher electricity prices due to data centers," said James, R-Shelby Township. "If a local community decides it wants to allow a data center, then the companies that build and profit from the data centers should cover the increased costs. There should be no increase in electricity bills for individual households."
H.R. 9340, the Ratepayer Protection Act, requires state utility regulators and non-regulated utilities to consider implementing a federal standard for large-load customers. Under that standard, new facilities such as data centers with a peak demand of 100 megawatts or more would have to pay for the full incremental cost of power generation, transmission and distribution upgrades required to support the data center.
In addition, large-load customers would be required to provide the utility financial assurances to cover the up-front costs in advance of the utility making upgrades, so that the expense does not fall on local residential customers should a project fall through.
James said that preventing electricity rates from going up is only one of many factors surrounding the data center issue. He said local communities must retain control, and that data centers must not pollute, including water and noise pollution. He also said that data centers should go on old industrial brownfields, not productive green farmland.
The legislation now goes to the Senate for consideration.
James represents Michigan's 10th Congressional District, which includes portions of Oakland and Macomb counties.
"Families should not have to pay higher electricity prices due to data centers," said James, R-Shelby Township. "If a local community decides it wants to allow a data center, then the companies that build and profit from the data centers should cover the increased costs. There should be no increase in electricity bills for individual households."
H.R. 9340, the Ratepayer Protection Act, requires state utility regulators and non-regulated utilities to consider implementing a federal standard for large-load customers. Under that standard, new facilities such as data centers with a peak demand of 100 megawatts or more would have to pay for the full incremental cost of power generation, transmission and distribution upgrades required to support the data center.
In addition, large-load customers would be required to provide the utility financial assurances to cover the up-front costs in advance of the utility making upgrades, so that the expense does not fall on local residential customers should a project fall through.
James said that preventing electricity rates from going up is only one of many factors surrounding the data center issue. He said local communities must retain control, and that data centers must not pollute, including water and noise pollution. He also said that data centers should go on old industrial brownfields, not productive green farmland.
The legislation now goes to the Senate for consideration.
James represents Michigan's 10th Congressional District, which includes portions of Oakland and Macomb counties.
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