Data Center Transparency Act

H.R. 6984, the Data Center Transparency Act, would require federal agencies to gather and share information about how data centers affect American communities. Specifically, the bill would direct the Energy Information Administration to collect data every six months on the total electricity consumed by each data center in the United States and report these findings to Congress and the public. The Environmental Protection Agency would also be required to submit quarterly reports on data center impacts on air quality, water quality, and local water systems, including information about pollutants discharged and greenhouse gas emissions.

The bill addresses growing concerns about the rapid expansion of artificial intelligence data centers and their effects on utility costs and the environment. Data centers consumed more than 4 percent of total U.S. electricity in 2024, and some communities have experienced significant increases in electricity bills as these facilities expand. By requiring transparent reporting of energy and water consumption, the bill aims to give the public and policymakers better information about data center operations and their local impacts. The bill is currently under consideration by the House Committee on Energy and Commerce.