House subcommittee presses for faster transmission and permitting to power AI data centers

The House Science Committee's Subcommittee on Investigations and Oversight heard extensive testimony Tuesday on how permitting and transmission delays are affecting the nation's ability to support a rapid build-out of data center infrastructure for artificial intelligence. Chairman McCormick told the panel that "artificial intelligence requires enormous computing power, and that means enormous amounts of electricity," and warned that current permitting and litigation timelines are slowing critical projects.

Members and industry witnesses described lengthy interconnection and permitting waits for new generation and transmission. Marcin Hanna, head of energy and sustainability policy at Google, told the subcommittee that utilities have reported 5- to 10-year waits to interconnect new facilities because of grid congestion and that Congress should pursue a three-part package: cut permitting bureaucracy, create an effective federal transmission permitting framework, and establish permitting certainty for new energy projects. "Winning the AI race requires winning the energy race," Hanna said, arguing that regulatory reform is central to maintaining U.S. competitiveness.

Committee witnesses and members disagreed on the best tool: some argued for narrowly expedited treatment for projects seen as strategic, while others urged broad, technology-neutral reform. Paige Lamberton, a research fellow at the Competitive Enterprise Institute, told members that "power scarcity has been created by policy decisions" and urged amendments to multiple statutes to reduce duplicative reviews. Lamberton also described a policy option she called consumer-regulated electricity (CRE), privately financed "islanded" utilities that would supply large customers while shielding ratepayers from costs.

Several members pressed back on potential consumer impacts. Ranking member Sykes said constituents worry that data centers will drive up electricity bills and that Congress should ensure communities are protected from unintended costs. Rep. Bonamici cited Oregon's Power Act, which requires large-load customers to pay for transmission and generation upgrades they trigger, and asked witnesses what safeguards would prevent stranded costs for ratepayers; Hanna said Google structures long-term contracts and upfront commitments to cover incremental infrastructure needs.

Chairman McCormick cited agency review and litigation timelines as a central problem, saying NEPA reviews averaged about 26 months in 2024 and that court challenges can add additional years. Witnesses acknowledged overlapping federal and state reviews can multiply effort and cost: Lamberton described concurrent NEPA, Endangered Species Act and Clean Water Act reviews that can layer on separate timelines.

The subcommittee did not vote on legislation. Members repeatedly referenced the recently passed House Speed Act and the DATA Act (as discussed in testimony) as examples of measures intended to speed key reviews, but witnesses said comprehensive permitting and transmission reform at multiple levels will be necessary to deliver reliable power at scale. The record was left open for 10 days for additional comment and written questions.