The US Senate draft bill proposes fees charged to data centers that support blockchain networks and AI models that exceed federal emissions targets.
invoiceAccording to Bloomberg, led by Senate Democrats Sheldon White House and John Fetterman, Sheldon White House and John Fetterman, are designed to tackle the environmental impact of increasing energy demand.
Important provisions for Clean Cloud Act and industry responses
name Clean Cloud Actthe proposed law requires the Environmental Protection Agency (EPA) to establish emission performance standards for data centers and cryptographic mining facilities with installed IT nameplate power of more than 100 kW.
This standard is determined by the regional grid emission strength and aims to reduce annual emissions by 11%. The bill also introduces penalties to exceed established limits starting at $20 per tonne of CO2E, increasing inflation and an additional $10 fine.
“The surge in electricity demand from crypto miners and data centers outweighs carbon-free electricity growth.” Note Minority blog posts on the US Senate Committee on Environmental and Public Works websites. According to Post Data Centers, electricity usage accounts for up to 12% of the US total electricity demand by 2028.
The rapid growth of data centers is projection According to a survey by Morgan Stanley, this is because by the end of the decade it would generate around 2.5 billion tonnes of CO2 emissions worldwide.
Vaneck’s research director Matthew Sigel argues that the proposed law targets operations similar to Bitcoin miners due to the “loss” energy consumption of “beating a server rack strategy,” as stated on April 11. post x.
Furthermore, the law could contradict US policies under President Donald Trump, who overturned the 2023 executive order from former President Joe Biden, who set AI safety standards. Trump has also expressed his goal of making the United States a “capital of the world” for both AI and cryptocurrency.
Bitcoin miner pivots to ai rel=”nofollow” target=”_blank”>I said. Still, it has not yet been passed in the Senate.
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