The POWER Act: How Illinois is Trying to Regulate AI Data Centers
The Illinois state legislature is considering the Protecting Our Water, Energy and Ratepayers Act (POWER Act) to regulate energy and water use by hyperscale data centers. The proposed legislation would require data centers to use renewable energy sources, obtain water use permits, and mitigate negative community impacts.
Illinois lawmakers are proposing the Protecting Our Water, Energy and Ratepayers Act (POWER Act) to regulate hyperscale data centers. The legislation, introduced by State Sen. Ram Villavalam, aims to address environmental concerns related to data centers' high energy and water usage. If passed, the POWER Act would require data centers to pay for their own energy, use renewable sources, and obtain water use permits from the Illinois Environmental Protection Agency. Proponents of the act, including the Illinois Clean Jobs Coalition, argue that it would help mitigate the negative impacts of data centers on local communities. A poll found 67% of Chicagoans support the bill, with bipartisan backing across Illinois. The proposed legislation builds on previous efforts to promote renewable energy in the state, including the Climate and Equitable Jobs Act and the Clean and Reliable Grid Affordability Act.
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