Politics

How data centers became the new midterms bogeyman

Published

4 months ago

February 26, 2026

Data centers, once popular with elected officials in both parties, are fast becoming a midterms bogeyman.

Democratic governors are racing to rein in new warehouse projects they once offered up millions of dollars in tax incentives to secure as they face voters furious over soaring electric bills. And President Donald Trump, who has slashed red tape around the industry he’s lauded as a job engine, used his Tuesday State of the Union address to announce he’s told major tech companies to build their own power plants to shield ratepayers from further hikes.

It’s a remarkable pivot by leaders of both parties. And it reflects the rapidly shifting politics around data centers they had hailed as economic generators but are now retreating from as voters blame their proliferation for rising utility costs — part of an overall frustration with high prices that is dominating the midterms.

“The fact that everyone is talking about this all of a sudden shows how quickly this issue is moving and that politicians are reflecting the frustration that people are feeling over paying so much on their energy bills while data centers get tax breaks,” said Jared Leopold, a Democratic strategist and co-founder of climate advocacy group Evergreen Action.

These recent contortions also show both parties are still grappling with the way forward on an increasingly potent political issue.

Democrats harnessed voters’ frustrations over rising utility bills — and their fears that power-hungry data centers could push them higher — to win governor’s offices in New Jersey and Virginia and oust two Republicans on Georgia’s utility regulating commission last fall.

Voters’ worries haven’t ebbed. The POLITICO Poll found in mid-January that voters’ chief concerns about data centers involved household costs. Asked about the drawbacks to building data centers in the U.S., 29 percent of Americans said it would mean higher electricity bills, 24 percent said an increased risk of blackouts and 23 percent said the projects would cost taxpayer money.

Both parties have seized on making tech companies pay for their power as a salve.

Just six months ago, Trump declared he was accelerating federal permitting for data centers and headed to western Pennsylvania to praise companies for investing tens of billions of dollars in energy infrastructure as part of his push to be the “world’s No. 1 superpower in artificial intelligence.”

But on Tuesday, the president said he was negotiating with the companies behind data centers to build their own power plants to secure their power supply “while at the same time lowering prices of electricity” for Americans.

Trump was light on the details about what his “ratepayer protection pledge” actually meant in practice, though the White House said tech companies are expected to head to Washington next week to sign the agreements. But the president has been signaling such a step since at least January, when he said he was working with Microsoft to “ensure that Americans don’t ‘pick up the tab’” for data centers’ power consumption. He also banded together with Democratic governors to push grid operator PJM to control energy prices and tech companies to shoulder the burden of power costs.

Brendan Steinhauser, a Texas-based GOP strategist, said the shift shows Trump and his team “don’t want to be on the wrong side of this.”

“This is smart by the administration to recognize that there are concerns about energy prices and water usage,” said Steinhauser, who serves as CEO of The Alliance for Secure AI, a group that backs more AI industry regulation. “They don’t want to be seen as allowing the companies to accelerate without any input from the community, they don’t want to be seen as on the side of allowing energy prices to go up.”

Democrats don’t, either.

At least half a dozen Democratic governors — several of whom are potential 2028 presidential contenders — used their annual state-of-the-state addresses to pitch regulations or call to retract old sweeteners for an industry they had previously championed.

Illinois Gov. JB Pritzker is pushing to hit pause on tax incentives he’s long touted to lure data centers to his state. Arizona Gov. Katie Hobbs is seeking to eliminate the tax breaks for tech companies she previously backed as a state lawmaker a decade ago, while looking to impose new water-use fees.

New York Gov. Kathy Hochul, who was positioning her state as a “national leader in AI research and innovation,” has rolled out plans to make data center operators pay more for energy or supply their own. Connecticut Gov. Ned Lamont signaled his state would look to “slow down new data centers,” unless they add more power generation.

And Pennsylvania Gov. Josh Shapiro, who streamlined permitting to help his state be “all in on AI,” is now calling on his legislature to codify a set of “responsible infrastructure development” standards for data center developers — including hiring locally and bringing their own power generation — as he looks to mitigate voters’ concerns. A survey released Wednesday from Pennsylvania pollster Quinnipiac University showed 68 percent of registered voters would oppose a data center being built in their community, including 81 percent of Democrats, 67 percent of independents and 53 percent of Republicans.

Shapiro insisted his new guardrails were “not a shift” when asked last week about the policy rollout. Instead, he cast them as part of his ongoing efforts to balance creating jobs with “holding down energy costs.”

“I’ve always been for the end-users having to bring their own power or generate new power and pay for it so we’re not burdening the local community,” Shapiro told Blue Light News on the sidelines of the National Governors Association winter meeting in Washington last week. “We just are more open about it, so anyone thinking about doing business in Pennsylvania now knows what those standards are going to be.”

The proliferation of data centers across battleground states has similarly pushed energy costs to the forefront of key congressional campaigns. Imposing guardrails on the artificial intelligence industry has become a rallying cry for insurgent candidates in primaries and an attack line in competitive districts. Calls are growing on both sides of the aisle for a moratorium on new projects.

Politicians are “beginning to catch up with where their constituents are” in opposing unregulated data center growth, said Mitch Jones, the managing director of policy and litigation for environmental firm Food & Water Watch, which is pushing for a construction pause.

But Maryland Gov. Wes Moore, who has sketched out a similar set of rules for new projects in his state, argued that a “binary” approach to data centers was misguided.

“Oftentimes, when people talk about data centers, it’s either like what they’ve done in Northern Virginia, which is kind of like, ‘let them just run wild and do whatever they want to do.’ Or it’s like trying to put a ban on them. I don’t think either is the right answer,” Moore said in a brief interview at NGA. “I understand how this critical infrastructure is necessary for economic growth. … But industry cannot determine the rules.”

Politics

Democrats grapple uncomfortably with World Cup success

Published

5 minutes ago

June 26, 2026

Blue Light Newsroom

The triumph of the World Cup’s first two weeks — boosting the U.S.’s global reputation with sold-out stadiums and few logistical complications — has forced Democrats who had criticized President Donald Trump’s role in preparations to grudgingly reconsider.

“I think that there was a little bit of like liberal wishcasting that this would maybe be a disaster to sort of stick it to Trump,” said Rob Flaherty, the digital Democratic strategist and soccer fan who attended the U.S. group-stage match with Australia. “It hasn’t yet been.”

Before the tournament, attitudes about the World Cup were polarizing, like so much else, along partisan lines, with Democrats confronting FIFA and the Trump administration over high ticket prices, shortfalls in public funding, and the government’s posture to foreign visitors. As the tournament approached, local officials in areas hosting matches, including New York City Mayor Zohran Mamdani and New Jersey Governor Mikie Sherrill, turned from critics to cheerleaders.

Now a prominent congressional Democrat is going even farther: praising the U.S.’s handling of tournament logistics — if not giving the Trump administration explicit credit by name.

This week, Rep. Brendan Boyle, a Philadelphia Democrat active in foreign-policy issues, called it a “remarkable success” and vowed to “do everything I can to get the World Cup back here as soon as possible” in an X post.

In an interview with Blue Light News Thursday, Boyle said, “this has been a great moment, actually devoid of politics, and I think it would be best to keep politics out of it.”

“I’m excited about the U.S. hosting the World Cup, how well that it has gone, how receptive these foreign fan bases have been to finding out more about the United States and interacting with ordinary Americans,” Boyle continued.

Boyle’s enthusiasm places him in rare territory. Though other prominent Democrats including California Gov. Gavin Newsom and Pennsylvania Gov. Josh Shapiro, along with Mamdani and Sherrill, have all attended games, few among them have been willing to articulate anything that sounds like praise for the authorities putting on the event.

“Let me be clear, my comments are irrespective of the Trump administration. Frankly, his immigration policies for the last year and a half did scare some people off from coming to the United States,” said Boyle. “The credit goes to the local host committees.”

Politics

Australia lost. Its ambassador still won.

Published

20 minutes ago

June 26, 2026

Blue Light Newsroom

SEATTLE — In late May, Greg Moriarty formally presented his credentials to President Donald Trump as Australia’s man in Washington. But it wasn’t until mid-June that Moriarty encountered one of the U.S. officials he most needed to meet: Energy Secretary Chris Wright, whose department plays a key role in critical-minerals deals between the two countries.

Moriarty’s encounter with Wright did not take place at the Energy Department’s headquarters just off the National Mall in Washington, or at any of its many facilities around the country. Rather the men met at Lumen Field in Seattle, at last Friday’s crucial World Cup match between their countries, where Wright led the U.S. delegation — an auspicious occasion for an envoy to make connections in a new post.

“The United States is a very sports-mad country, so is Australia, so [it’s] a great opportunity to get to know them on a different level, because you might touch on one or two items of business,” Moriarty said in an interview. “But it’s generally just so that you can both enjoy the spectacle and the connection that we both have through sports.”

Moriarty also introduced himself to Health and Human Services Secretary Robert F. Kennedy Jr., a figure of particular fascination in Australia given that country’s embrace of harsh Covid-era lockdowns, as well as members of Congress in attendance. Moriarty, a former defense secretary and national security adviser, will work to keep Washington’s foreign-policy establishment focused on the Indo-Pacific in a year when its attention has drifted alternately to the Arctic, Caribbean and Persian Gulf.

“The United States is a superpower. It clearly has global commitments and global responsibilities,” said Moriarty. “But Australia, we think that the United States’s commitment to the Indo-Pacific is very solid.”

In Seattle, however, business was front of mind for Moriarty, who finds himself fighting a new 12.5 percent tariff that the Trump administration has imposed on countries accused of not doing enough to prevent slave labor in their supply chains. At the waterfront Edgewater Hotel, Moriarty joined corporate leaders — including Microsoft’s Australian-raised Deputy General Counsel Antony Cook, who has taken a leading role in the company’s approach to AI regulation, and Mikaël Limapalaër of heavyweight pension fund Australian Super — to discuss the future of the bilateral trade relationship.

Moriarty is unusual among Australia’s ambassadors to Washington for not having been a politician — his immediate predecessor, Kevin Rudd, previously served as the country’s prime minister — but he already shows a deft instinct for intertwining economic ties, military alliances and cultural affinity. At one point, he linked a coming National Football League game in Melbourne to the arrival of nuclear submarines as part of the AUKUS security partnership.

“We’re really keen to sort of see how we can use American football to grow an audience in Australia, that will again be really good for the business connections and the people-to-people connections,” said Moriarty.

“Australia will be ready to host the first rotation of U.S. submarines by the end of next year, and we’re hoping that all the Americans who come down to and live down in Western Australia bring their own love of football.”

Politics

Canada’s biggest fan may be its biggest problem

Published

1 hour ago

June 25, 2026

Blue Light Newsroom

OTTAWA — Mark Carney may be Canada’s loudest booster at the World Cup, but some of his countrymen fear he may be hurting more than helping — because he always does when it comes to sports.

In March 2025, the new prime minister joined the Edmonton Oilers for a pre-game skate. That night the Oilers fell to the Winnipeg Jets, followed by a wave of injuries on the team. Former Oiler and “Spittin’ Chiclets” podcast host Ryan Whitney took to X: “The Carney Curse is real for Edmonton. What the hell just happened. Guy is on the ice with the Oil this morning and now everyone is injured.”

Now some Canadians are worried that their prime minister has brought the “Carney Curse” to the World Cup, blaming him for Canada’s defeat against Switzerland on Wednesday. His country’s only only goal coincided with a moment that Carney left his box seat at Vancouver’s BC Place.

For a brief, glorious moment last week, the Ottawa fishbowl wondered if the curse had been broken. Carney skipped Canada’s World Cup opener against Bosnia-Herzegovina. But then, after days of anxious whispers over whether he’d jinx the squad, the prime minister witnessed Canada thrash Qatar. If Canada had beaten or tied the Swiss, the team could’ve played as many as two elimination games in Vancouver. With the loss, they fell to runner-up — and a knockout-round game in Los Angeles against South Africa on Sunday.

Canada’s men’s soccer team joins an ever-growing list of inadvertent “victims” of prime-ministerial fanhood, including: the Toronto Blue Jays, who lost the World Series after Carney visited the team; the Canadian women’s rugby team, for whom he traveled to the United Kingdom to cheer on at the World Cup last summer; and the Montreal Canadiens, whom he dubbed “Canada’s team” during the Stanley Cup playoffs.