Overview
(October 30, 2025, Washington, DC) – Steptoe LLP has created a comprehensive Data Center Regulation Tracker designed to help clients navigate the legal, regulatory, and operational complexities of planning, building, and operating data centers in the United States. The move comes amid exponential growth in AI-related infrastructure and energy needs.
According to the Department of Energy, it is estimated that data centers consumed 4.4% of US power in 2023 and will consume as much as 12% of the nation’s power by 2028, with S&P estimating that data centers now account for 8% of total US power demand and may make up 30% of all new net demand added until 2030. S&P also estimates aggregate net on-grid US power demand in 2030 of about 4,850 terawatt-hours (TWh). For perspective, the annual current consumption of New York State and California is 150 TWh and 280 TWh, respectively.
McKinsey has estimated that by 2030 companies will invest almost $7 trillion in capital expenditures on data center infrastructure globally, including $4 trillion on computing-hardware and $3 trillion on other areas such as real estate and power infrastructure.
Steptoe's tool monitors US state-level legislative and regulatory developments affecting energy provision to data centers and other large loads. Designed to help utilities, developers, and data center operators stay ahead of fast-moving state energy policies, the Steptoe team provides state-by-state updates on executive orders, utility rate filings, proposed regulations, and other proceedings that impact data center operations and interconnection strategies.
"Data centers are central to the digital economy and the AI revolution," said Steptoe Energy partner Will Keyser, who is leading the project. "There is massive latent demand for more AI which increases energy demand, placing additional and significant pressure on power suppliers, regulators, and energy infrastructure. This means looking at all the options for supplying power for large load needs and the public policy and regulatory issues involved. Many states are exploring different and sometimes unique solutions to solve the needs caused by data center growth and our new database will help clients and potential clients monitor those developments."
"Our team brings together the firm's deep bench across energy, real estate, tax, environmental, and political law to help clients through the full data center lifecycle – from site selection and power procurement to compliance and incentives. While we’ve had these capabilities for years, packaging our services through a Data Center practice allows us to provide clients with the most timely, efficient, and effective counsel."
The Data Center Energy Regulation Tracker can be viewed here.
About Steptoe
In more than 110 years of practice, Steptoe has earned an international reputation for vigorous representation of clients before governmental agencies, successful advocacy in litigation and arbitration, and creative and practical advice in structuring business transactions. Steptoe has more than 500 lawyers and other professional staff across offices in Beijing, Brussels, Chicago, Hong Kong, Houston, London, Los Angeles, New York, San Francisco, and Washington, DC. For more information, visit www.steptoe.com.
