Trump wants Big Tech to pay $15 billion to fund new power plants

The Trump administration and a coalition of Northeast governors are moving toward a dramatic overhaul of how new power plants get built, pushing a plan that would make Big Tech directly finance new electricity generation for their artificial intelligence build-out.

The proposal would ask PJM Interconnection, the country’s largest grid operator, to run an emergency electricity auction designed to fast-track new power supply, Bloomberg reported Thursday. The process would give data center operators and other major tech electricity users the option to bid for 15-year contracts that would support the construction of new power plants, rather than spreading costs across all ratepayers.

The "statement of principles" will be released later today, and is set to be signed by Trump’s National Energy Dominance Council and the governors of 13 states, including Pennsylvania, Ohio, and Virginia.

“I never want Americans to pay higher Electricity bills because of Data Centers,” President Donald Trump wrote this week on social media, adding that technology companies must “pay their own way.”

White House officials say the move could ultimately support around $15 billion in new generation capacity if PJM agrees to participate, making it one of the most significant interventions into U.S. electricity markets in recent years.

The effort reflects mounting anxiety that power demand is running far ahead of supply across the Mid-Atlantic and Midwest, where PJM manages the grid for more than 67 million people. Utilities have warned that without fresh investment, the region could face tightening margins in coming years.

At the same time, the plan speaks to a growing political backlash over data centers — massive, energy-hungry facilities that are expanding rapidly as companies race to build AI infrastructure. Local communities and consumer advocates increasingly argue that households are footing the bill for tech’s electricity appetite through higher rates.

An analysis by the Center for American Progress found that households paid 9.6% more for utilities in 2025 compared to 2024, outpacing both wage growth and overall inflation.

Trump has tried to turn that tension to his advantage. In recent weeks, he has framed the issue as one of fairness, repeatedly insisting that tech giants rather than ordinary Americans should pay for the grid upgrades their facilities require.

The planned auction would, in theory, align with that stance by tying new generation directly to the companies driving demand growth, rather than socializing the costs across all customers.

The timing is also political. With congressional control at stake in November, Republicans are keenly aware that rising household expenses, including utility bills, are a vulnerability. While Trump has touted falling gasoline prices since taking office, electricity costs have continued to climb in many parts of the country.

Whether PJM ultimately embraces the administration’s plan is uncertain. The grid operator has traditionally resisted overt political pressure and could push back on the design of any new auction.

Still, Friday’s expected statement signals that Washington and state leaders are prepared to lean hard on the grid operator, and on tech companies, to reshape how America powers its data center boom.