Speeding AI Data Center Construction

President Biden Issues Executive Order to Speed Up AI Data Center Development

Executive Order Details

President Biden issued an executive order today aimed at speeding the development of AI data centers in the US. The order directs the Department of Defense (DOD) and Department of Energy (DOE) to lease federal sites to private companies building gigawatt-scale AI data centers and clean power facilities. It also tells federal agencies to "prioritize" and speed up permitting of AI infrastructure. The measure could create "categorical exclusions" to speed environmental review under the National Environmental Protection Act.

Energy-Hungry AI Development

Developing new AI tools is an increasingly energy-hungry endeavor. Nevertheless, the Biden administration seems to think it’s worth the risk of further derailing US climate goals and putting additional pressure on already stressed power grids.

Environmental Concerns

Prior to the announcement, environmental and consumer advocacy groups, as well as Democratic lawmakers, had urged the White House to avoid exempting AI from typical permitting procedures and environmental standards. In a letter sent to the Biden administration on December 17th, senators Sheldon Whitehouse, Elizabeth Warren, Edward Markey, Brian Schatz, and Peter Welch wrote, "We urge you to reconsider any potential executive action that could lead to increased pollution and costs for consumers."

Electricity Demand

Electricity demand from data centers has tripled over the past decade, according to estimates published by the Lawrence Berkeley National Laboratory (LBNL) on December 20th. It’s likely to double or triple again by 2028, according to the report. Data centers used about 4.4% of US electricity in 2023, which could rise to as much as 12% by 2028.

Utilities’ Response

Utilities are already extending the lives of polluting coal and gas infrastructure to try to meet skyrocketing electricity demand. Customers also face rising electricity bills as a result.

Data Center Development on Federal Land

Developers building new AI data centers on federal land will be required "to pay all costs of building and operating AI infrastructure so that this development does not raise electricity prices for consumers," according to the White House. This includes constructing the data center itself, as well as power facilities and transmission lines. Companies will be responsible for sourcing electricity that data centers use from new sources of "clean" electricity.

Criticism from Environmental Advocates

Johanna Neumann, a senior director at the Environment America Research & Policy Center, argued that the focus should be on making sure that new computing facilities are more efficient and run on renewable electricity. "Without those guardrails, AI’s insatiable thirst for energy risks crashing America’s efforts to get off dirty and dangerous fossil fuels," she added.

Conclusion

The government already leases federal lands for energy production, including fossil fuel exploration and renewable energy projects. Under the executive order, by February 28th, the Secretary of Defense and Secretary of Energy are supposed to find at least three sites each to host new AI data centers on land that their departments manage.

FAQs

Q: What is the purpose of the executive order?
A: The executive order aims to speed up the development of AI data centers in the US.

Q: What does the order direct?
A: The order directs the Department of Defense and Department of Energy to lease federal sites to private companies building gigawatt-scale AI data centers and clean power facilities.

Q: What are the environmental concerns surrounding AI development?
A: There are concerns that AI development could further derail US climate goals and put additional pressure on already stressed power grids.

Q: What did environmental and consumer advocacy groups say about the executive order?
A: They urged the White House to avoid exempting AI from typical permitting procedures and environmental standards.

Q: What is the expected electricity demand from data centers?
A: It is expected to double or triple again by 2028, according to the Lawrence Berkeley National Laboratory.