New federal guidance could make it easier for data centers to develop their own power while reinforcing a basic principle Ohio policymakers should follow when those facilities connect to the electric grid.

The U.S. Environmental Protection Agency (EPA) clarified this week that the Clean Air Act’s Acid Rain Program does not apply to power generation facilities operating independently from the public grid. EPA said the guidance gives data-center developers greater flexibility to build dedicated generation while reducing pressure on local electric systems.

The announcement also advances President Donald Trump’s Ratepayer Protection Pledge. Companies signing the pledge commit to build, bring or buy all the energy needed to power their facilities and pay the full cost of that energy and its supporting infrastructure.

“EPA is right to give data centers more flexibility to bring their own power,” said James Lee, managing director of public policy services for The Ohio Manufacturers’ Association. “Those projects should meet applicable environmental requirements and carry their own costs, not shift new burdens onto manufacturers already supporting the grid.”

The guidance does not resolve questions involving grid-connected facilities, utility tariffs or transmission-cost allocation, but it reinforces that major new energy users have options beyond shifting costs onto existing customers. 7/29/2026