The Data Center Coalition (DCC), which represents operators including Google, Amazon, and Microsoft, has urged U.S. Treasury Secretary Scott Bessent to maintain current rules governing wind and solar subsidies.
In a letter, the group argued that existing tax credit structures have enabled rapid renewable energy growth and helped the United States compete with China.
“Any regulatory friction that slows down deployment of new generation today directly impacts our ability to meet AI-era electricity demands tomorrow,” the coalition wrote.
The plea came just before the US Treasury prepared to update guidelines for clean energy tax credits on Friday 15 August, following an executive order from President Donald Trump in July,
The order directs officials to tighten rules, tightening definitions of when construction is considered to have begun through demonstrating “physical work of a significant nature” on an ongoing basis.
Industry stakeholders warn that tougher requirements could stall renewable development at a time when demand for electricity is accelerating, driven by artificial intelligence and the wider digital economy.
Following the 15 August ruling, Rhone Resch, Chief Executive of Advanced Energy Advisors, commented:
“What it is going to do is reward sophisticated companies that have projects that are farther along in their development. The companies that are going to suffer are the smaller medium medium-sized developers that aren’t going to be able to meet this time frame.”
Advisory firm Clean Energy Associates projected the United States could lose around 60GW of planned solar capacity through 2030 if stricter rules are imposed.
According to the DCC, the U.S. data centre industry contributed $3.5tn to national GDP between 2017 and 2023, while directly employing more than 600,000 people.
The coalition maintains that preserving stable subsidy rules is essential to ensuring reliable energy supplies to support this growth.
