Senator Bernie Sanders is pushing for a nationwide pause on AI data center construction, a proposal that has sparked debate across party lines but faces significant political headwinds. The Vermont senator first announced his call for a moratorium in December, arguing that the pause would “give democracy a chance to catch up with the transformative changes” brought by artificial intelligence technology.
Sanders told Business Insider he plans to introduce legislation soon to formalize his proposal, citing “enormous issues for our economy and for our democracy that have got to be dealt with.” However, the initiative faces an uphill battle in the Republican-controlled Congress, with even some Democratic allies hesitant to fully endorse the idea.
Democratic Rep. Alexandria Ocasio-Cortez of New York stopped short of backing the moratorium but highlighted serious concerns about AI data centers’ impact on electricity costs. “What we do know is that these AI data centers are just uncontrollably jacking up people’s energy costs,” she told Business Insider, adding that data centers “certainly should not be getting the blank check from Congress.”
The proposal has found support among some progressive lawmakers, including Rep. Ilhan Omar of Minnesota and Rep. Rashida Tlaib of Michigan, who issued a full-throated endorsement on social media. Democratic Sen. Brian Schatz of Hawaii offered a nuanced position, stating he doesn’t want a moratorium but agrees that “we are sleepwalking past risks which alarm even the optimists.”
Republicans have been largely dismissive of Sanders’s proposal. Sen. Josh Hawley of Missouri, typically a critic of Big Tech, suggested that data center construction should be left to local voters and permit processes. The Trump administration has been broadly supportive of AI industry expansion, with White House Crypto and AI Czar David Sacks arguing that blocking data centers would mean “stopping progress completely so China wins the AI race.”
However, even the Trump administration has acknowledged growing concerns about data center energy consumption. President Trump recently declared that Big Tech firms should “pay their own way” on data centers, with AI companies covering more electricity costs. The administration and several governors have called on power grid operators to hold emergency auctions amid rising costs driven by AI infrastructure demands.
Key Quotes
There’s enormous issues for our economy and for our democracy that have got to be dealt with. And I feel we’re not ready to do that.
Senator Bernie Sanders explained his rationale for proposing AI data center moratorium legislation, emphasizing that society needs time to address the transformative impacts of AI technology before allowing unchecked infrastructure expansion.
What we do know is that these AI data centers are just uncontrollably jacking up people’s energy costs. There are a lot of problems that arise from these data centers, and I think that they certainly should not be getting the blank check from Congress.
Rep. Alexandria Ocasio-Cortez highlighted the economic burden AI data centers are placing on ordinary Americans through rising electricity bills, though she stopped short of endorsing Sanders’s full moratorium proposal.
I don’t want a moratorium on data centers but Bernie is right that we are sleepwalking past risks which alarm even the optimists.
Democratic Sen. Brian Schatz of Hawaii offered a middle-ground position, acknowledging serious concerns about AI infrastructure risks while not supporting an outright construction pause.
I never want Americans to pay higher Electricity bills because of Data Centers.
President Donald Trump signaled a shift in the administration’s approach to AI infrastructure, calling for Big Tech companies to bear more of the electricity costs associated with their data centers amid growing public concern about rising energy bills.
Our Take
This controversy reveals a fundamental challenge facing the AI industry: the physical infrastructure required for AI advancement is colliding with real-world resource constraints. While the debate is framed as progress versus caution, it’s really about who pays for AI’s massive energy appetite. Sanders’s moratorium may be politically unrealistic, but it’s succeeding in forcing both parties to confront an issue they’d rather avoid. The Trump administration’s pivot toward demanding tech companies pay more for electricity shows that energy concerns are transcending ideology. The AI industry has operated largely without infrastructure accountability, treating electricity grids as unlimited resources. As data centers strain power systems and drive up costs for consumers, that free ride is ending. The real question isn’t whether to pause AI development, but how to ensure its costs don’t fall disproportionately on ordinary Americans while tech giants reap the profits.
Why This Matters
This debate represents a critical inflection point in AI policy, highlighting the tension between technological advancement and infrastructure sustainability. As AI companies race to build massive data centers to power their models, the energy demands are creating real-world consequences for American consumers through higher electricity bills and strained power grids.
Sanders’s moratorium proposal, while unlikely to pass, forces a necessary conversation about the true costs of AI development and who should bear them. The fact that even the Trump administration—generally pro-AI industry—is now calling for tech companies to pay more for electricity signals that energy concerns are becoming impossible to ignore.
This issue transcends traditional partisan divides, with progressives worried about economic impacts on working families and conservatives concerned about local control and infrastructure strain. The outcome of this debate will shape how America balances AI innovation with energy sustainability, potentially influencing everything from electricity rates to climate goals to U.S. competitiveness in the global AI race. As AI models grow more powerful and energy-intensive, these infrastructure questions will only become more urgent.
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Source: https://www.businessinsider.com/bernie-sanders-ai-data-center-moratorium-reaction-2026-1