Trump says he will mandate data centers to generate their own power

He also called for data centers to pay local communities or individuals a "dividend" to build support for their construction

President Trump posted on Truth Social that he is mandating new and large data centers to generate their own electricity and return excess power to local communities or the grid. He said this could lower electricity prices rather than raise them.

Trump also called for data centers to pay communities or individuals a "dividend," saying such arrangements have made data centers "extremely popular" in areas where they exist.

The idea builds on a voluntary pledge Trump has already expanded, adding utilities, state governments and Republican governors to a commitment originally signed by major tech companies, according to The Hill. That pledge calls on data centers to bring their own power or pay for the power and infrastructure they use, and to invest in local communities, including making backup power available in emergencies, The Hill reported. In March, companies including Amazon, Google, Meta, Microsoft, xAI, Oracle and OpenAI were set to sign a related "Rate Payer Protection Pledge" at the White House, Fox News reported. Vice President JD Vance has defended the broader push, saying companies must be "good community citizens," according to Benzinga. In July, the Environmental Protection Agency gave data center developers more flexibility to build their own power generation without triggering a Clean Air Act program that applies to grid-connected facilities, according to a newsletter by Mary L. Trump citing analysis from the watchdog group CREW.

The mandate adds a new policy front alongside the tariff, energy and geopolitical moves Trump has made in recent weeks, putting direct pressure on data center operators to generate their own power rather than draw from the grid, with the dividend meant to buy local acceptance. Unlike the Alaska LNG and biofuel announcements, which named dollar figures and partners, this mandate carries no detail on implementation, enforcement or legal mechanism, leaving it closer to a statement of intent than a rule already in force. It touches the same AI infrastructure buildout that Trump has pledged not to restrict, and could shift costs for data center developers toward on-site power generation if it is formalized.