FOR IMMEDIATE RELEASE
Contact: Patrick Snow
Communications Director, Heartland Impact
PSnow@heartlandimpact.org
Heartland Impact Applauds Trump’s Ratepayer Protection Pledge, Calls on States to Follow Suit
White House action validates years of policy work by Heartland Impact to shield everyday ratepayers from data center energy costs
SCHAUMBURG, IL – March 5, 2026 – Heartland Impact today praised President Donald Trump’s Ratepayer Protection Pledge, which commits leading technology companies including Amazon, Google, Meta, Microsoft, OpenAI, Oracle, and xAI to building, buying, or bringing their own power generation resources to meet data center energy demands rather than passing those costs on to everyday customers.
The pledge requires participating companies to negotiate separate rate structures with utilities and state governments and to cover the full cost of all power delivery infrastructure upgrades associated with their data centers. The agreement also commits signatories to make backup generation resources available to grid operators, bolstering reliability and helping prevent blackouts and power shortages.
“This is exactly the outcome Heartland Impact has been working toward since 2024,” said Cameron Sholty, Executive Director of Heartland Impact. “American families and businesses should never be forced to subsidize the energy appetites of the world’s most valuable corporations. President Trump has drawn a clear line: the tech giants who benefit from the data center boom are the ones who should pay for it. We commend him for taking this decisive step.”
Heartland Impact has been at the forefront of the ratepayer protection issue since publishing two pieces of model legislation in August 2024 specifically designed to address the collision between surging data center electricity demand and the interests of ordinary ratepayers.
The Equitable Escalation of Electricity Demand Act would require new data centers to directly contract with local utilities for the construction of new dispatchable power capacity — or develop that power themselves — ensuring that the cost of new generation is borne by those demanding it rather than socialized across the broader ratepayer base. The legislation also establishes that, in the event of grid shortfalls, newly built data centers would be the first to have power curtailed, not homes, hospitals, or small businesses.
The Electricity Trajectory Management Act addresses the supply side of the equation by prohibiting state public utilities commissions from approving the retirement of existing firm, dispatchable power plants unless equal or greater replacement firm capacity is already contracted and available on the grid. The bill also directs commissions to actively pursue new dispatchable generation capacity to accommodate anticipated demand growth, and authorizes states to seek waivers and, if necessary, legal injunctions against federal regulations that would force power plant closures without adequate replacement.
“Together, these two bills create a comprehensive framework: one that protects ratepayers from being hit with the tab for data center growth while simultaneously ensuring the grid remains reliable and affordable for everyone,” said Samantha Fillmore, Senior State Government Relations Manager at Heartland Impact. “What President Trump has done at the federal level with the Ratepayer Protection Pledge reflects the same principles embedded in our model legislation. We strongly encourage state legislators across the country to take the next step and adopt these bills to lock in these protections at the state level, where much of utility regulation actually takes place.”
The Ratepayer Protection Pledge arrives at a critical moment. Grid operators have warned of rapidly escalating electricity demand — projected to grow by as much as 4.7% between 2023 and 2028 — driven primarily by data center expansion and broader electrification trends. At the same time, dozens of coal and natural gas plants are slated for retirement, raising serious concerns about the reliability and affordability of the nation’s electric grid.
“The federal pledge is a meaningful and welcome development, but it applies only to a handful of the largest hyperscalers,” Sholty added. “There are hundreds of data center projects across the country being developed by companies not covered by this agreement. State-level legislation is essential to ensure that no ratepayer is left holding the bill.”
Heartland Impact’s model legislation is available for review and adoption at heartlandimpact.org and is free for use by any state legislator or policymaker.
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Heartland Impact is a free-market policy organization based in Schaumburg, Illinois, dedicated to advancing limited government, individual liberty, and economic freedom at the state and local level. Heartland Impact provides research, model legislation, and policy expertise to legislators, advocates, and citizens across the country.
