350.org Slams Utility Rate Hikes Driven by AI and Data Center Boom

As U.S. utilities push for billions with steep rate hikes, citing the need to repair climate-damaged infrastructure and upgrade the aging power grid to meet rising demand, campaigners are sounding the alarm. While utilities argue these investments are necessary, critics question why ordinary households should be forced to shoulder the costs of an AI-driven energy boom that primarily benefits tech giants.

Anne Jellema, Chief Executive at 350.org

“Working families should not be footing the bill so tech giants can keep feeding their AI machines. This is a textbook case of corporate profit being prioritized over the public good. If AI is driving up demand, then it’s the tech companies, not everyday consumers, who should pay for the strain they’re putting on our energy systems.”

According to new data from PowerLines, US power providers have already filed for a staggering $29 billion in rate increases in the first half of 2025 alone, a 142% jump from the same period last year.

Candice Fortin, 350.org US Campaign Manager,

"Across the country, we’re seeing the power grid being reshaped to serve the profits of Big Tech while households are being asked to pay more for less. Instead of secretive deals and backroom contracts with data centers, we need transparent, public investment in clean, decentralized energy that serves people, not corporations.

Utilities and the fossil fuel companies rely on a lack of public knowledge to allow them to continue business as usual. In some states, that means greenwashing and misrepresenting themselves to maintain their positive reputations and the public’s trust. In others, it simply means making the system seem inevitable, impenetrable, and not worth people’s time. They are banking on us continuing to pay our bills and air any grievances. As the deadly impacts of the climate crisis are felt across the US, the push to protect utility profits and AI expansion at the expense of public affordability is predatory and comes at a moment when the U.S. should be doubling down on energy justice and equitable climate solutions."