The United States boasts the world's largest data center market, holding approximately 40% of the global capacity. As of 2024, the U.S. market is valued at over $100 billion, with a projected compound annual growth rate (CAGR) of 10-12% through 2030, driven by the increasing demand for cloud computing, AI workloads, and digital services. This expansion has led to a rise in electricity consumption and environmental impact, prompting federal action to improve energy efficiency and encourage renewable integration.
Several U.S. federal initiatives address the intersection of data centers, semiconductor manufacturing, and renewable energy. The Inflation Reduction Act (IRA) of 2022 allocates over $369 billion for clean energy, including tax credits relevant to data centers and chip fabrication plants seeking to reduce their carbon footprint through renewable power and on-site generation. Executive Order 14057 mandates that all federal operations, including data centers, achieve 100% carbon-free electricity by 2030, with 24/7 clean energy matching by 2035.
The STARGATE (Sustainable, Transparent Architecture for Grid-Interactive Energy Technologies) initiative plans to build up to 20 large AI data centers in the U.S., with an initial investment of $100 billion and plans for up to $500 billion by 2029. STARGATE-funded projects focus on carbon-aware computing, grid-interactive load management, and energy transparency to shift data centers from passive energy consumers to potential grid assets. The DOE's Loan Programs Office (LPO) has over $400 billion in lending authority for clean energy infrastructure, including data center-related grid or storage upgrades. The Bipartisan Infrastructure Law (BIL) and the CHIPS and Science Act of 2022 further support grid modernization, broadband expansion, and sustainable semiconductor manufacturing.
The United States has also implemented various environmental and energy regulations affecting data center operations. Laws like the Clean Air Act (CAA) and Clean Water Act (CWA) set standards for emissions and wastewater discharge, while the Resource Conservation and Recovery Act (RCRA) and CERCLA govern hazardous waste and site contamination relevant to e-waste and construction. Energy-specific policies like the Energy Policy Act of 2005, Energy Independence and Security Act of 2007, and the Energy Star Program promote energy efficiency and smart grid participation for data centers. Federal initiatives like the Federal Data Center Consolidation Initiative (FDCCI) and executive orders (e.g., EO 13834, EO 14008) mandate greenhouse gas reductions and a transition to clean energy in federal data centers. The National AI Research Resource Task Force Act of 2020 emphasizes sustainable energy use in AI infrastructure. Complementary programs like the Better Buildings Initiative and Clean Energy to Communities (C2C) offer technical and policy support to improve energy efficiency and accelerate clean energy adoption in data center-hosting communities. More recently, the Artificial Intelligence Environmental Impacts Act of 2024, introduced at the federal level, calls for a comprehensive evaluation of AI's environmental footprint.