A power substation near the LC1 CloudHQ data center in Ashburn, Virginia, on March 27, 2024.
Nathan Howard | Bloomberg | Getty Images
Voter anger at surging electricity prices is fueling political backlash against the artificial intelligence industry’s data centers, with Democrats accusing the Trump administration of failing to address the issue as they zero in on affordability ahead of next year’s mid-term elections.
Abigail Spanberger won last week’s governor’s race in Virginia, home to the largest concentration of data centers in the world, after promising to make the industry “pay their own way and their fair share” of rising electricity costs.
On the heels of the election victories, Democratic senators in Washington led by Sen. Richard Blumenthal of Connecticut and Sen. Bernie Sanders of Vermont took aim this week at what they described as the White House’s “sweetheart deals with Big Tech companies,” accusing the administration of failing to protect consumers from “being forced to subsidize the cost of data centers.”
“As a result, everyday Americans are already being forced into bidding wars with trillion-dollar companies to keep the lights on at home,” the senators wrote Monday in a letter demanding solutions from the White House.
President Donald Trump promised to cut families’ electric bills by 50% in his first year in office. But residential prices in the U.S. increased about an average 6% in August nationwide compared to the same-period in 2024, according to October data from the Energy Information Administration. Prices soared about 21% in New Jersey, 13% in Virginia and about 5% in Georgia in the same period.
The reasons for price hikes vary by state and region, said Abraham Silverman, who served as general counsel for New Jersey’s public utility board from 2019 until 2023 under outgoing Democratic Gov. Phil Murphy.
But data centers are playing the main role in rising bills on the PJM Interconnection electric grid that serves New Jersey and Virginia, Silverman said. PJM is the largest grid in the U.S., reaching more than 65 million people across 13 states in the Mid-Atlantic and parts of the Midwest and South.
“We are basically adding a Philadelphia’s worth of new electricity users to the grid every year, starting in 2025 and showing no signs of slowing,” Silverman said of the national increase in demand. “Where is that load growth coming from? The answer is data centers.”
Surging prices
The conditions that led to surging household electricity prices this year, particularly in the PJM region, took root before the second Trump administration entered office, when investment in AI data centers was just starting to ramp up.
The amount PJM agreed to pay in late 2022 to secure capacity from power plants, which ensures they are available when electricity use rises, totaled $2.2 billion. In 2024, the bill soared more than 500% to $14.7 billion. This year, it jumped another 9% to $16.1 billion.
The independent watchdog that monitors PJM found the main culprit for soaring capacity prices: data centers.
“The current conditions in the capacity market are almost entirely the result of large load additions from data centers, both actual historical and forecast,” the watchdog Monitoring Analytics concluded in its independent market monitor report published in June.
Those capacity prices are ultimately passed down to household electricity bills, Silverman said. “It is an extremely large component of the affordability crisis we’re experiencing right now.”
New Jersey utility PSE&G, owned by Public Service Enterprise Group, acknowledged the impact of exploding capacity prices in a February letter to consumers warning of a 17% increase in their bills, though it didn’t call out data centers.
“Utilities do not earn a profit on the electric supply; these costs are passed through directly to customers,” the company said.
The problem could get worse as the data center build out accelerates — at least for now. Power used by data centers in advanced stages of planning in Pennsylvania, for example, jumped more than 40% to 20.5 gigawatts in the third quarter, up from 14.4 gigawatts previously, according to the utility PPL. That’s equivalent to the power consumption of about 17 million U.S. homes.
“I want to be clear that these load additions are real, they are coming fast and furious,” PPL CEO Vincent Sorgi said on its latest earnings call. “The bottom line is that we need to start building new generation as soon as possible.”
It is unlikely that residential utility bills will come down this decade as demand is expected to remain high and supplies tight, said Rob Gramlich, president of Grid Strategies, a power sector consulting firm.
Political blame game
The Democratic senators accused the Trump administration of making the affordability problem worse with its attacks on renewable energy. Trump has tried to halt the expansion of wind power, particularly offshore wind projects, and his signature piece of domestic legislation, the One Big Beautiful Bill, phases out tax credits for renewable energy.
Renewables are the most readily available source of generation to meet new demand, with solar, battery storage and wind making up more than 90% of the projects that are waiting to connect to the grid, according to August data from the consulting firm Enverus. Sherrill and Spanberger campaigned on expanding renewable energy in New Jersey and Virginia not to lower carbon emissions, but to help bring down energy costs.
The White House blames the Biden administration and its renewable energy policies for driving up electricity prices. Trump “declared an energy emergency to reverse four years of Biden’s disastrous policies, accelerate large-scale grid infrastructure projects, and expedite the expansion of coal, natural gas and nuclear power generation,” White House spokeswoman Taylor Rogers said in a statement.
The AI industry should pay for the new generation and transmission that is needed to support their data centers, Silverman said. “If we do that, then we are really going a long way to insulate mom and pop consumers from the higher costs,” he said.
The Data Center Coalition, a lobbying group, said in a statement that “the industry is committed to paying its full cost of service for the energy it uses.”
In a high-tech move that we can all get behind and isn’t dystopian at all, the City of Barcelona is feeding camera data from its city buses into an advanced AI, but they swear they’re not using the footage to to issue tickets to bad drivers. Yet.
UPDATE 06DEC2025: the ticket bot cometh to Chicago.
Last month, the Chicago Transit Authority (CTA) contracted with Hayden AI to equip six of its transit buses with AI-powered license plate readers intended to target illegally parked vehicles in an area bound by North Avenue, Roosevelt Road, Lake Michigan and Ashland Avenue.
As with similar pilots in Barcelona and NYC, the Hayden AI technology captures information from vehicles illegally blocking bus and bike lanes, then submits its “findings” to a human reviewer for confirmation. If the reviewer agrees with the AI, they can issue a fine of $90 for parking in a bus lane, $250 for bike lane obstruction, $50 for parking in expired meters outside of the central business district, and $140 for personal vehicles parked in commercial loading zones.
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Despite those hefty fines, Chicago Mayor Brandon Johnson is quick to point out that the goal of the program isn’t to generate revenue.
“Every Chicagoan deserves a transportation system that is safe, reliable, and efficient,” said Mayor Johnson, in a statement. “By keeping bus and bike lanes clear of illegally parked vehicles, the Smart Streets pilot helps us protect our most vulnerable road users while improving the daily commute for riders across the city.”
The official release makes no mention of the fact that Hayden AI’s system generated nearly $21 million in revenue for the city in just a few months, despite the fact that thousands of those ticketed weren’t doing anything wrong.
We wrote about some of these issues back in Jun. You can read that original article, below, and let us know what you think of Chicago’s “non-revenue” claims in the comments.
Barcelona ticketing AI; via Hayden AI.
Barcelona and its Ring Roads Low Emission Zone have earned lots of fans by limiting ICE traffic in the city’s core. The city’s latest idea to promote mass transit is the deployment of an artificial intelligence system developed by Hayden AI for automatic enforcement of reserved lanes and stops to improve bus circulation – but while it seems to be working as intended, it’s raising entirely different questions.
“Bus lanes are designed to help deliver reliable, fast, and convenient public transport service. But private vehicles illegally using bus lanes make this impossible,” explains Laia Bonet, First Deputy Mayor, Area for Urban Planning, Ecological Transition, Urban Services and Housing at the Ajuntament de Barcelona. “We are excited to partner with Hayden AI to learn where these problems occur and how they are impacting our public transport service.”
Currently operating as a pilot program on the city’s H12 and D20 bus lines, the system uses cameras installed on the city’s electric buses to detect vehicles that commit static violations in the bus lanes and stops (read: stopping or parking where you shouldn’t). The Hayden AI system then analyses that data and provides statistical information on what it captures while the bus is driving along on its daily route.
Hayden AI says that, while it photographs and records video sequences and collects contextual information of the violation, its cameras do not record license plates or people and no penalties are being issued to drivers or owners of the vehicles.
So far so good, right? But it’s what happens once the six mont pilot is over that seems like it should be setting off alarm bells.
Big Brother Bus is watching
“You are being recorded” sign in a bus; via Barcelona City Council.
The footage is manually reviewed by a Transports Metropolitans de Barcelona (TMB) officer, who reportedly reviewed some 2,500 violations identified by AI in May alone. But, while the system isn’t being used to issue violations during the pilot program, it easily could.
And, in fact, it already has … and the AI f@#ked up royally.
AI writes thousands of bad tickets
NYC issued hundreds of thousands of tickets; via NBC.
When AI was given the ability to issue citations in New York City earlier this year, it wrote more than 290,000 tickets (that’s right: two-hundred and ninety thousand) in just three months, generating nearly $21 million in revenue for the city. The was just one problem: thousands of those drivers weren’t doing anything wrong.
What’s more, the fines generated by the AI powered cameras were supposed to be approved only after being verified by a human, but either that didn’t happen, or it did happen and the human operator in question wasn’t paying attention, or (maybe the worst possibility) the violations were mistakes or hallucinations, and the human checker couldn’t tell the difference.
In OpenAI’s tests of its newest o3 and o4-mini reasoning models, the company found the o3 model hallucinated 33% of the time during its PersonQA tests, in which the bot is asked questions about public figures. When asked short fact-based questions in the company’s SimpleQA tests, OpenAI said o3 hallucinated 51% of the time. The o4-mini model fared even worse: It hallucinated 41% of the time during the PersonQA test and 79% of the time in the SimpleQA test, though OpenAI said its worse performance was expected as it is a smaller model designed to be faster. OpenAI’s latest update to ChatGPT, GPT-4.5, hallucinates less than its o3 and o4-mini models. The company said when GPT-4.5 was released in February the model has a hallucination rate of 37.1% for its SimpleQA test.
I don’t know about you guys, but if we had a local traffic cop that got it wrong 33% of the time (at best), I’d be surprised if they kept their job for very long. But AI? AI has a multibillion dollar hype train and armies of undereducated believers talking about singularities and building themselves blonde robots with boobs. And once the AI starts issuing tickets to the AI that’s driving your robotaxi, it can just call its buddy AI the bank to send over your money. No human necessary, at any point, and the economy keeps on humming.
But, like – I’m sure that’s fine. Embrace the future and all that … right?
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The Japanese agriculture equipment experts Kubota are partnering with Norwegian tech startup Kilter to co-develop, pilot, and promote the new Kilter AX-1 ultra high-precision weeding robot across Europe.
To accomplish those goals, the Kilter AX-1 uses a patented tech package it calls “Single Drop Technology.” Single Drop Technology combines AI weed recognition and ~6 mm placement accuracy to deliver micro-doses directly to weeds, protecting the crop and minimizing the impact to the surrounding soil.
Getting that 6 mm droplet application wasn’t easy. “You can’t buy a field-ready droplet applicator off the shelf,” Anders Brevik, CEO of Kilter, told AgTechNavigator. “We had to design one that survives years of dust, vibration, temperature swings, and long operating days, while keeping droplet size, timing, and placement consistent. That takes deep agronomy knowledge, a lot of engineering, and thousands of hours of field testing.”
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Kilter says growers can reduce herbicide use by up to 95% by adopting the new AX-1, shifting selectivity from chemistry to smart application.
Kubota Europe’s Smart Farming Solutions Division, launched back in 2024, is working with the company’s European dealer network to train up sales staff and integrate the Kilter robot into Kubota’s broader farm solutions portfolio. There’s no word, yet, on pricing or if/when we’ll get the Kilter in North America.
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Autonomous electric tractor concept; by John Deere.
Energy independence and cost control are top of mind for farmers, and more companies are rolling out electric equipment that can be charged by solar, wind, or even on-farm biogas. With the debut of its latest next-generation electric tractor at Agritechnica last month, John Deere is signaling that it intends to lead that revolution.
John Deere says the E-Power electric tractor prototypes that it’s been quietly teasing since 2022 will be as quiet as a car, as easy to drive as a golf cart, and require minimal upkeep – and all while providing the same performance as the company’s beloved diesel tractors.
“Our goal with the E-Power tractor is to ensure it performs the same jobs as its diesel counterparts and works with the same implements, while unlocking incremental value,” explains Derek Muller, business manager for battery electric vehicle systems at John Deere. “Through our electric lineup, we’ll look to reduce operational and maintenance costs, deliver powerful and reliable performance, and intuitive operation.”
The latest electric John Deere tractor prototype, recently unveiled at Agritechnica, is equipped with a 100 hp drive motor and two, additional motors. One 130 continuous hp electric motor for the PTO, and a third for the hydraulic pump. They’ll draw power from up to five KREISEL li-ion battery packs, allowing customers significant pricing flexibility based on their ability to determine how much power and run time they need (and are willing to pay for) to get their jobs done.
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Electric John Deere tractor
130 hp electric tractor shown at Agritechnica; by John Deere.
The customization will go well beyond just battery size. Deere plans to offer customers a number of different tractor and equipment options, and keep costs competitive by basing them on a vehicle common architecture.
“John Deere aims to develop a single electric concept that customers can configure to their own needs,” writes Bob Karsten, at Future Farming. “Buyers will be able to choose the number of batteries (up to five, totalling 195 kWh), the axle type (narrow or wide track), and the cab (either an orchard cab or the familiar 5M cab). In essence, buyers select their preferred battery capacity. With the largest battery (195 kWh), the tractor can operate for eight hours. The target is to enable fast charging up to 80% in 30 minutes.”
Deere revealed one version of that upcoming electric tractor (above) at Agritechnica last week, but despite being an early prototype, it’s a fully functional piece that’s already seen duty with some of John Deere’s most trusted customers.
Daniel, an orchard customer from California, said his experience with the electric tractor led him to believe it could help ease training new operators, “I do think the tractor is much easier for drivers to understand it and to drive it. It would take less time to teach them [operators] how to use it.”
Tyler, a vineyard customer in California, believes that a new electric tractor could help his operation meet its sustainability goals, “When we look at our carbon footprint, greenhouse gas emissions, we want to try and reduce those as we run our equipment to farm our vineyards, we want to be conscious of the community at large.”
You can check out a quick, virtual walkaround of John Deere’s E-Power electric tractor concept in this (admittedly older) video released around the ACT Expo, and expect more details and possible configurations at the upcoming CON/AGExpo conference in March.
John Deere E-Power configurations
SOURCE | IMAGES: John Deere.
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