Democrats say the Trump Administration’s push for massive AI data centers is driving up electricity bills

Markets 2025-11-12 10:46

Democrats are calling out the Trump Administration for turning basic utilities into a Big Tech free-for-all.

On Monday, Senators Richard Blumenthal of Connecticut, Bernie Sanders of Vermont, and others demanded full accountability from the White House and the Commerce Department.

They said the government’s obsession with fast-tracking artificial intelligence data centers is directly jacking up electricity costs for working Americans.

They made it loud and clear in a letter addressed to Michael Kratsios, Director of the White House Office of Science and Technology Policy, and Howard Lutnick, Secretary of the Department of Commerce.

The lawmakers accused the Trump Administration of making secretive deals with companies like Meta, Google, Oracle, OpenAI, and other tech giants to build massive AI data centers without any plans to protect consumers from the cost.

These new facilities are swallowing electricity like monsters.One Meta center alone is expected to burn through 5 gigawatts, the same as what nearly 4 million homes use.

Democrats said data center energy usage is expected to more than double from 5% of national grid demand to 12% in just three years, and it’s already pushing some grids to the edge.

Democrats question why Americans are paying Big Tech’s energy bills

The Office of Science and Technology Policy has already admitted that AI advancements are increasing pressure on the country’s power grid.

But Democrats say the White House hasn’t done anything serious to expand the grid or add enough power supply to meet the skyrocketing demand. Instead, regular people are now competing with trillion-dollar companies just to keep their own homes powered.

The same senators say the Trump Administration is only making things worse by crushing renewables. They slammed the President for raising tariffs on key energy infrastructure, boosting liquefied natural gas exports that could spike gas prices by 30% by 2050, and tearing down energy support programs that millions rely on.

They also said the Administration’s war on wind and solar, the cheapest and fastest energy sources available, includes blocking tax credits and adding layers of red tape, which delays progress and increases costs even more.

The letter highlighted repeated public appearances by President Trump alongside Zuckerberg, Altman, Ellison, and other tech leaders, where they celebrated the AI build-out without addressing the fallout.

Since January, household electricity prices have jumped 10%, and Democrats warn that in places like the Mid-Atlantic, home to the highest concentration of these data centers, rates could surge by 30% to 60% over the next five years.

Senators demand answers on deals, data center locations, and consumer relief

The senators also said these AI and crypto-focused centers are sucking up rural water supplies to cool their hardware, leaving local communities to suffer. As one Ohio resident allegedly told them, “I can adjust the thermostat to save money. I freeze in the winter and roast in the summer.”

The lawmakers now want full transparency. In their letter, they asked six urgent questions:-

  • What’s being done to measure household impacts from electricity and water usage tied to AI data centers?

  • What legal protections are in place to stop energy price spikes or blackouts?

  • Are there any environmental checks on water use?

  • Which companies are involved, where are these centers located, and how much power and water does each use?

  • Are local governments even aware of what’s coming?

  • And finally; what steps are being taken to compensate households already crushed by these utility bills?

Democrats are demanding the White House and Commerce Department respond to these questions by November 21.

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