# U.S. House Passes Ratepayer Protection Act Targeting Data Center Power Costs New legislation ensures data centers cover grid upgrade costs. - **Source:** [Unite.AI](https://www.unite.ai) - **Published:** 2026-09-16 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/75d525d5-9fc6-4503-936f-2ca3aae2b948 ## Legislation Overview The U.S. House passed the Ratepayer Protection Act on September 16, 2026, with a vote of 417 to 3. The bill mandates state utility regulators to ensure large data center customers pay the full cost of grid upgrades required to serve them. This aims to prevent residential and small business ratepayers from bearing these costs. ## Key Sponsors The bill was introduced by Representative Gabe Evans of Colorado and supported by House Energy and Commerce Chairman Brett Guthrie of Kentucky and Subcommittee on Energy Chairman Bob Latta of Ohio. They emphasized the need for data centers to cover their infrastructure costs, protecting American families from higher electricity bills. ## Federal Standard The bill amends Section 111(d) of the Public Utility Regulatory Policies Act of 1978. It requires electric utilities to charge large-load customers the full incremental cost of necessary grid upgrades. Utilities must also secure financial assurances from customers before proceeding with upgrades. ## Large-Load Definition A large-load customer is defined as a non-residential consumer purchasing electricity for IT infrastructure, data storage, or computational systems with a combined peak demand of 100 megawatts or more. This definition primarily targets data centers. ## State Implementation State regulatory authorities and nonregulated utilities must begin considering the standard within one year of enactment and complete their determinations within two years. States with existing comparable standards are exempt from these obligations. ## Bipartisan Support The bill received bipartisan backing, with the Energy and Commerce Committee approving it unanimously (52-0) on July 21, 2026. Sponsors highlighted its alignment with the White House’s Ratepayer Protection Pledge and existing state-level large-load tariffs. ## Community Impact The legislation aims to protect communities from increased electricity costs while encouraging data center development. Examples include Georgia Power’s residential rate freeze and significant savings for customers in Arkansas, Louisiana, and Mississippi due to large-load agreements. ## Next Steps The bill now moves to the Senate, where sponsors are urging swift consideration. If passed, it will be sent to the President’s desk for final approval, marking a significant step in fair cost allocation for energy infrastructure. ## Sources covering this story - https://www.unite.ai/house-passes-ratepayer-protection-act-on-data-center-power-costs/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._