Clean Cloud Act of 2025
Summary
The Clean Cloud Act of 2025 aims to amend the Clean Air Act by establishing requirements for the collection of electricity consumption data and emissions standards for data centers and cryptomining facilities. It mandates annual data collection on energy consumption from covered facilities and electric utilities. The bill also introduces emissions performance standards and fees for exceeding regional greenhouse gas emission baselines.
Expected Effects
The act will likely increase transparency regarding energy usage in data centers and cryptomining operations. It will also incentivize the use of cleaner energy sources through fees and the allocation of funds towards clean energy initiatives. This could lead to reduced carbon emissions from these energy-intensive sectors.
Potential Benefits
- Increased transparency in energy consumption of data centers and cryptomining facilities.
- Incentivizes the use of renewable energy sources through financial penalties for exceeding emissions baselines.
- Funds allocated to programs that lower residential electricity consumer energy costs.
- Supports research, development, and deployment of zero-carbon electricity generation and long-duration energy storage assets.
- Could lead to a reduction in greenhouse gas emissions from data centers and cryptomining facilities.
Potential Disadvantages
- Increased operating costs for data centers and cryptomining facilities due to potential fees.
- Potential for increased electricity costs for consumers if utilities pass on the cost of fees (though the bill attempts to prevent this).
- Complexity in data collection and reporting requirements for both facilities and electric utilities.
- The definition of 'covered facility' might capture a wide range of businesses, increasing the regulatory burden.
- The effectiveness of the Act depends on the accuracy of data collected and the enforcement of the emissions standards.
Most Disadvantaged Areas:
Constitutional Alignment
The Clean Cloud Act aligns with the Commerce Clause (Article I, Section 8, Clause 3) by regulating activities that affect interstate commerce, specifically electricity generation and consumption. It also aligns with the General Welfare Clause (Article I, Section 8, Clause 1) by promoting environmental protection and addressing climate change, which can be argued as promoting the general welfare of the United States. The Act does not appear to infringe upon any specific individual rights or liberties protected by the Constitution or its amendments.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).