The Democratic Party has proposed the "Clean Cloud Act," requiring U.S. Bitcoin mining companies and AI compute centers to embrace green energy: achieve zero carbon emissions by 2035.
Original Article Title: "Democratic Party Proposes 'Clean Cloud Act' Demanding U.S. Bitcoin Miners and AI Computing Centers Embrace Green Energy: Achieve Zero Carbon Emission by 2035"
Original Article Author: Joe, BlockTempo of ChainNews
The U.S. Senate has introduced the "2025 Clean Cloud Act," which requires cryptocurrency mines and AI data centers to gradually phase out fossil fuels or face fines, with the goal of achieving zero carbon emissions by 2035.
This bill was jointly proposed by Democratic Senators Sheldon Whitehouse and John Fetterman and aims to strictly limit the carbon emissions of cryptocurrency mining enterprises and artificial intelligence (AI) data centers, establishing a clear timetable to achieve net-zero emissions by 2035. Facilities continuing to use non-renewable energy sources will face fines.
Core Mechanism of the Act: Regional Emission Caps and Yearly Decrement
According to the draft, the "Clean Cloud Act" will amend the existing "Clean Air Act." In the future, all data centers with an energy capacity of over 100 kilowatts (including cryptocurrency mines and AI computing centers) must comply with regionally defined emission caps.
These caps will be based on the power region divisions set forth in the U.S. Department of Energy's "National Electricity Delivery Demand Study." Due to different energy structures and grid conditions in various regions, the emission reduction requirements will also vary.
The bill mandates that emission caps for each region must be established by the end of 2025 and then decrease by 11% annually until reaching zero emissions by 2035. Non-compliant enterprises will pay fines based on their excess emissions adjusted for inflation.
It is worth noting that the draft explicitly prohibits companies from passing on the fine costs to customers to ensure that companies bear the responsibility for environmental protection.
Strict Reporting Obligations and Accountability
The bill also requires relevant facilities to submit detailed reports annually, including key information such as total electricity consumption and the ratio of electricity sources (renewable energy vs. fossil fuels).
Of note, the draft assigns the responsibility for paying fines to the "lessee of the leased facility" rather than the facility owner. This means that even individuals or companies leasing servers for mining or AI operations may be required to report data and bear potential fines, expanding the scope of applicability.
Contributes to Green Energy Development, But Also Increases Pressure on SMEs
If the bill is passed, it will drive cloud service providers and data centers to actively adopt green energy, attracting environmentally conscious customers. However, for small and medium-sized enterprises, this may be a challenge as they may lack sufficient resources to address energy transformation and compliance costs.
The Cryptocurrency Mining Industry Shows a Green Trend
By the end of 2024, over 50% of the global Bitcoin mining network's energy comes from renewable sources such as hydroelectric, wind, and solar energy. Regions with abundant and affordable green energy, such as Iceland and Quebec, Canada, have become the preferred choices for miners.
If the "Clean Cloud Act" is smoothly passed, mining enterprises and AI data centers will quickly transition to using renewable energy, while those who do not adapt will face the risk of being phased out of the market.
Overall, the bill lays out a positive and stringent emissions reduction timetable, prompting relevant companies to plan for energy transformation as early as possible. However, in the overarching environment of the Trump administration, considering his repeated denial of the relationship between global warming and carbon emissions, this bill is bound to encounter resistance in Congress from the Republican Party (which may view the bill as too strict, stifling innovation, and weakening U.S. competitiveness in the cryptocurrency and AI fields). The final outcome of whether it can be passed still remains highly uncertain.
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