On April 13th, COINOTAG News reported that Democratic Senators Sheldon Whitehouse and John Fetterman have introduced a draft of the “2025 Clean Cloud Act” to the U.S. Senate, aimed at regulating the carbon emissions produced by cryptocurrency mining operations and AI data centers. This legislation seeks to impose penalties on facilities operating with non-renewable energy sources, with a target of 2035 for achieving compliance. If enacted, the draft will amend the “Clean Air Act”, mandating data centers with energy capacities over 100 kilowatts to adhere to regional emission standards developed by the Department of Energy.
The legislation outlines an annual reduction in emissions of 11% until a complete reduction is achieved by 2035, while also establishing fines, adjusted for inflation, for facilities that exceed set limits. Critical to note, these fines cannot be passed on to consumers. Revenue generated from these penalties will be allocated to support initiatives that combat rising electricity costs and promote clean energy initiatives.
The Senate Committee on Environment and Public Works, via Platform X, emphasized the potential of cryptocurrency and AI data centers to support renewable energy instead of exacerbating fossil fuel dependence. However, the bill’s passage may encounter resistance from Republican lawmakers, including former President Trump, who has expressed ambitions for the U.S. to emerge as a leading force in Bitcoin mining.