Senator Lummis and Microsoft advocate for streamlined energy permitting to secure AI capabilities

The U.S. Senate Committee on Commerce, Science, and Transportation convened on May 8, 2025, to address a critical issue: the race for artificial intelligence supremacy and the pivotal role of energy infrastructure in this competition. Lawmakers and industry leaders emphasized that the ability to deploy new energy generation and upgrade the electrical grid is essential for the U.S. to maintain its technological edge over China.

Senator Lummis highlighted the urgency of reforming the permitting process, which he described as excessively lengthy and a barrier to rapid energy deployment. He is collaborating on the Free Act, aimed at establishing a streamlined "permit by rule" structure. This would allow large projects to meet comprehensive standards upfront, rather than navigating a cumbersome case-by-case approval process. "Energy is how we can win, and it's also how we can lose," he stated, underscoring the stakes involved.

Industry representatives echoed these concerns. Mr. Entrittor from CORWEA noted that access to large-scale power is crucial for advancing AI infrastructure. He warned that as existing energy resources are consumed, the challenge of securing new power sources will intensify, particularly under the current regulatory framework.

Microsoft's Mr. Smith shared insights on the company's extensive permitting efforts, revealing that the biggest hurdle in the U.S. is the federal wetlands permit, which can take up to two years to obtain. He argued that resolving this bottleneck could significantly accelerate energy projects and, by extension, AI development.

The meeting also touched on the competitive landscape, with concerns raised about Chinese open-source AI models potentially attracting developers in emerging markets. The committee's discussions highlighted a clear consensus: without swift action to enhance energy infrastructure and streamline permitting, the U.S. risks falling behind in the global AI race. The implications of these discussions could shape future policies aimed at bolstering American innovation and economic leadership.