Congress mandates data centers go fully renewable—or face $100K daily fines
H.R. 6983 — PRICE Act · Filed by Robert Menendez (D-NJ) · 4 cosponsors · Introduced Jan 8, 2026 · Referred to committee
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What it does
This bill requires all U.S. data centers consuming at least 50 megawatts daily to generate 100% of their own electricity on-site or through owned/contracted sources. Starting in 2035, at least 75% must come from clean energy (solar, wind, geothermal, etc.); by 2040, all must be clean. Violations incur civil penalties up to $100,000 per day until corrected.
Why we flagged it
The bill's core mechanism is a binding requirement that data centers self-generate electricity with escalating clean-energy thresholds. It is a regulatory mandate, not a subsidy or tax provision, and its primary effect is to shift energy sourcing and capital investment in the data center sector.
What the text implies
- Data centers may relocate to jurisdictions with lower energy costs or weaker enforcement, potentially concentrating infrastructure in specific regions and creating uneven economic impacts across states.
- Small and mid-sized data centers may face disproportionate compliance costs relative to hyperscalers (Google, Amazon, Microsoft), potentially accelerating industry consolidation.
The full analysis lists 4 implications of this text.
Who stands to gain
renewable energy equipment manufacturers (solar panels, wind turbines, battery systems); green hydrogen producers; energy storage companies