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Pentagon data center plans face congressional scrutiny over resource use

Created at 26 Jul · 10:16 AM1 source↑ Market-relevant
IN SHORT

Lawmakers are scrutinizing the Department of Defense's plans to build data centers for AI on military installations, citing concerns over energy and water consumption, and impacts on local communities. While some support the initiative for military innovation, others are pushing for studies and transparency before further acceleration.

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Key Numbers

1,384 acresFort Bliss land for Carlyle Group data facility
1,201 acresDugway Proving Ground land for CyrusOne facility

Who's Involved

John Garamendi
Rep. (D-Calif.), ranking member of the House Armed Services Subcommittee on Readiness
Ken Calvert
Rep. (R-Calif.), chair of the Defense Appropriations Subcommittee
Donald Trump
President who issued an executive order on AI infrastructure
Mike Levin
Rep. (D-Calif.) concerned about resource use and DOD briefings
Marcy Kaptur
Rep. (D-Ohio), ranking member on the House Energy and Water Development Appropriations Subcommittee
Rashida Tlaib
Rep. (D-Mich.) who proposed prohibiting AI data centers on federal lands
Hillary Scholten
Rep. (D-Mich.) advocating for minimum efficiency standards for DOD data centers
Cory Mills
Rep. (R-Fla.) who added a provision barring data centers with components from adversaries
Carlyle Group
Investment firm building a data facility on Fort Bliss
CyrusOne
Data center developer building a facility on Utah’s Dugway Proving Ground
Pentagon data center plans face congressional scrutiny over resource use

↳ Why This Matters

The development of AI-powered military technologies hinges on robust data infrastructure, but the significant resource demands of these data centers are creating a conflict between national security innovation and environmental sustainability, potentially impacting local communities and military readiness.

Key facts

  • The Department of Defense is developing data centers on military installations to power AI technologies.
  • Lawmakers are concerned about the significant energy and water consumption of these facilities.
  • The Army has entered into agreements with Carlyle Group and CyrusOne for data centers on Fort Bliss and Dugway Proving Ground.
  • Several amendments and proposals in Congress aim to require studies, transparency, and mitigation of data center impacts.
  • Some proposals seek to prohibit data centers with components from U.S. adversaries or block leases until a strategy is finalized.

Lawmakers in Congress are raising bipartisan concerns about the Department of Defense's initiative to build data centers on military installations to support artificial intelligence technologies, such as drone swarms. Representatives like John Garamendi (D-Calif.) and Ken Calvert (R-Calif.) are questioning whether these facilities, which are significant consumers of energy and water, should be located on military bases and are pushing for greater transparency and planning.

The Pentagon's push for AI infrastructure gained momentum following an executive order from President Donald Trump. The Air Force has identified five installations for private companies to build data centers, and the Army has entered into agreements with Carlyle Group for a facility at Fort Bliss, Texas, and CyrusOne for a facility at Utah’s Dugway Proving Ground. The Army states these projects will incur no upfront cost to taxpayers and will include comprehensive power and water solutions.

However, some lawmakers, particularly Democrats, remain skeptical about these assurances. Reports suggest the Fort Bliss data center alone could require more power than all of El Paso's electricity customers combined. Concerns have also been raised about a lack of adequate briefings from the Department of Defense regarding the enforcement of contracts and the potential impacts on military readiness, base infrastructure, and nearby residents.

In response, Congress has advanced several legislative proposals. Bipartisan amendments have been added to funding bills to mitigate data center impacts on energy, water, grid reliability, and ratepayers. A provision by Rep. Cory Mills aims to prevent DOD from leasing land for data centers that use significant components manufactured by U.S. adversaries. While some Democratic amendments seeking to prohibit data centers on federal lands or mandate efficiency standards were rejected, efforts are ongoing to address these issues through separate bills.

Frequently asked questions

The Pentagon aims to build data centers to support artificial intelligence technologies, such as drone swarms, to enhance its war tactics and maintain a competitive edge in the AI arms race.

Lawmakers are concerned about the significant consumption of energy and water by these data centers, potential strain on local power grids and water supplies, and the impact on surrounding communities and military installations.

The investment firm Carlyle Group and data center developer CyrusOne have entered into agreements with the Army to build facilities on military installations.

Congress is considering amendments and standalone bills that would require studies, evaluations, transparency from the DOD, and potentially prohibit data centers with components from U.S. adversaries or block leases until a strategy is finalized.

What Happens Next

01Both chambers of Congress will work to reconcile their versions of the defense authorization and spending bills.
02The House Energy and Commerce Committee is pushing the Ratepayer Protection Act to address data center impacts on power prices.

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Cadence

How It Developed

The Pentagon is building data centers on military installations to support AI technologies like drone swarms.
Lawmakers, including Rep. John Garamendi, are raising concerns about the significant energy and water consumption of these data centers.
President Donald Trump's executive order directed the DOD to identify sites for AI infrastructure on military bases.
The Air Force has offered land on five installations, and the Army has agreements with private firms for data centers.
Carlyle Group and CyrusOne are set to build facilities on Fort Bliss and Dugway Proving Ground, respectively.
Some lawmakers are skeptical about the 'no upfront cost to taxpayers' claim and potential strain on local resources.
Rep. Ken Calvert noted concerns about impacts on local residents, power grids, and water supplies.
Rep. Mike Levin expressed concern about water and electricity usage and a lack of briefings from the DOD.

Sources

T1
The Pentagon wants to build data centers. Congress would like a word.POLITICO Europe

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