Colorado Rep. Gabe Evans, Energy Secretary Chris Wright call on data centers to cover grid expansion costs
Republican U.S. Rep. Gabe Evans and U.S. Energy Secretary Chris Wright on Monday promoted what they say is a consumer-focused approach to expanding the nation's energy grid, as demand from data centers continues to grow.
The two spoke during a roundtable meeting in Thornton hosted by the America First Policy Institute. The pair then sat down for an exclusive interview with CBS Colorado to discuss Evans' bipartisan Ratepayer Protection Act.
The legislation, which Evans helped introduce, would require data center companies to pay for the infrastructure needed to connect to the electrical grid rather than shifting those costs to existing customers. Evans said the bill has already passed the Energy Subcommittee and is headed to the full committee for review before advancing to the U.S. House floor for a vote.
"Data centers, they can either be a negative draw on the grid if they are done poorly. But, if you do them right, they can actually lower prices for everyone," Evans told CBS Colorado.
Weld County, which makes up a significant portion of Evans' congressional district, has already announced plans to welcome data center development. Evans said the proposed legislation is designed to ensure those projects do not increase electricity costs for residents.
"It says that data centers have to pay their own way, and they have to have the financial security," Evans said. "So, if they go bankrupt, other people aren't left holding the bill."
Evans said requiring companies to finance new infrastructure could ultimately reduce costs for consumers.
"You can actually lower costs with a data center because they are paying for the infrastructure, but they are not drawing at peak demand," Evans said. "That flattens the demand curve on the grid. That drives costs down for people."
CBS Colorado asked Wright how he would respond to Coloradans who are concerned about the rapid expansion of data centers after Evans said some critics view them as a "boogie man."
"Artificial intelligence is new, and I understand people's concerns or trepidations with new technology," Wright told CBS Colorado. "The pluses are going to be massively bigger than the downsides. The electricity prices is not one of the downsides."
When asked whether he wants constituents to embrace data centers," Evans responded by saying, "I want my constituents to not pay the bill, and I want the United States to lead and have the economy that leads in this area."
