Clean Cloud Act of 2025
Clean Cloud Act of 2025
Plain Language Summary
# Clean Cloud Act of 2025 - Summary **What It Would Do:** The Clean Cloud Act would establish new emissions standards and fees for large data centers and cryptocurrency mining operations based on how much electricity they use and how carbon-intensive that electricity is. The bill would require the EPA to track the greenhouse gas emissions from these facilities' power consumption and charge fees to those that exceed certain thresholds. Money collected from these fees would be reinvested in clean energy projects, long-duration energy storage systems, and programs to help reduce residential electricity costs for consumers. **Who It Affects:** The bill primarily targets large-scale data centers and cryptomining facilities that use significant amounts of electricity. Indirectly, it could affect electricity costs and availability in regions with substantial data center operations.
Consumers may potentially benefit from fee revenues directed toward lowering residential electricity bills and funding renewable energy infrastructure. **Key Provisions & Status:** The EPA and Energy Information Administration would annually measure electricity emissions from covered facilities starting in 2027 through 2034, with fees based on regional grid emissions baselines. The bill is currently in committee as of this summary, meaning it has not yet been voted on by the full Senate. Senator Sheldon Whitehouse (D-RI) introduced the legislation.
CRS Official Summary
Clean Cloud Act of 2025This bill establishes an emissions standard and fee system regarding the electricity used by data centers or cryptomining facilities that exceed a specified size. Additionally, the bill appropriates collected fees for various purposes, including to fund zero-carbon electricity generation, long-duration energy storage, and grants to lower residential electricity consumer costs.The bill requires the Environmental Protection Agency (EPA) and the Energy Information Administration to annually determine the greenhouse gas emission intensity of the total annual electricity consumed by (1) covered facilities from the electric grid, and (2) covered facilities from electricity generation assets located behind the power meter of the facilities.The EPA must determine and publish the greenhouse gas emissions intensities of the electric grid of each region to establish a baseline for the assessment of fees. Each calendar year from 2027 through 2034, the baseline for each region is reduced by 11% of the original baseline. For 2035 and after, the baseline is set to zero emissions.The EPA must assess a fee on (1) owners of any electric utility providing power to a covered facility that exceeds the baseline emissions in that region for that year, and (2) covered facilities with respect to the greenhouse gas emissions from electricity generation assets located behind the power meter of the facility above the baseline of the region for that year. The electric utilities may not recoup the cost of the fee by raising rates or assessing fees on customers that are not covered facilities.
Latest Action
Read twice and referred to the Committee on Environment and Public Works.