Subcommittee urges faster permitting, grid upgrades to meet AI and data‑center energy demand
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Summary
Lawmakers told the Energy Department it must ease permitting and speed new generation to meet projected electricity needs from AI, data centers and manufacturing; Secretary Wright said DOE is pursuing regulatory streamlining and interagency coordination but asked Congress for permitting reform.
Members of the House Appropriations subcommittee used the May 7 hearing to press Department of Energy officials to accelerate permitting and grid improvements as demand for electricity climbs because of artificial intelligence, data centers and advanced manufacturing.
The topic is consequential because several members — including Representatives Mike Simpson, John Cloud and Michael Guest — warned that the projected electricity requirements for generative AI and industrial expansion will require rapid and reliable increases in generation and transmission capacity.
Secretary Chris Wright said AI will be “the Manhattan Project of our time” and that the United States must grow electricity production to support data centers, EVs and semiconductor manufacturing. He cited natural gas and nuclear as key near‑ and mid‑term options for firm, dispatchable power and said the department is taking administrative steps to reduce red tape within DOE programs and national labs. Wright described a National Energy Dominance Council, which convenes agencies such as EPA, Interior and Commerce to identify regulatory barriers and proposed that Congress enact permitting timelines for certain reviews, including reforms to the National Environmental Policy Act (NEPA) where delays are excessive.
Committee members asked for more detail on how DOE will preserve reliability and control costs while expanding capacity. Wright said the department is reviewing processes at the national labs to lower construction costs and streamline internal approvals and pledged to work with Congress on bipartisan permitting reform.
No legislative change was enacted at the hearing. Lawmakers asked DOE for continued engagement, and Wright committed to ongoing interagency coordination and to brief members on specific permitting changes and timelines.