Efficiency Report: President Donald J. Trump Expedites Federal Authorization for Data Center Equipment Development
In a bid to strengthen America's leadership in AI and manufacturing, President Donald J. Trump signed the "Accelerating Federal Permitting of Data Center Infrastructure" Executive Order on July 23, 2025. This Order, which revokes a Biden-era Executive Order, aims to streamline permitting and regulatory processes for AI data centers and related infrastructure.
The Order directs federal agencies to simplify environmental reviews, prioritise high-capacity projects (with greater than 100 megawatts load), leverage existing exemptions, and enable the use of Brownfield and Superfund sites. It also instructs relevant departments (Interior, Energy, Defense) to make federal lands available for data centers and promotes financial support such as loans, grants, and tax incentives for qualifying projects.
Key provisions include streamlining permitting for data centers, semiconductor manufacturing, and associated energy projects. The Order defines "Qualifying Projects" as those involving significant power loads for AI data centers and covered component projects. It utilises the Fixing America’s Surface Transportation Act (FAST-41) for expedited permitting and promotes transparency and efficiency in project approvals.
The Order underscores a priority of easing federal regulatory burdens to support technological and manufacturing dominance, signalling a decisive federal push for accelerating AI infrastructure deployment and strengthening America’s role as a global leader in AI and manufacturing technology.
The Trump Administration has been actively working to promote AI education for America's youth, as evidenced by the Executive Order signed in April 2025. In January 2025, the Administration reversed harmful Biden Administration AI policies. The Administration has also established the first-ever national AI research institutes, revised NOAA's deep sea mining regulations, and issued the world's first AI regulatory guidance to govern AI development in the private sector.
The Order also instructs agencies to streamline environmental reviews and permitting for data centers and related infrastructure. Notably, the Administration developed emergency NEPA procedures that can permit major mining projects in under 28 days at the Department of the Interior.
Qualifying Projects, as defined by the Order, include data centers that require greater than 100 megawatts of new load, infrastructure projects related to data center energy needs, semiconductor facilities, networking equipment, or other data center or related infrastructure projects selected by certain government officials.
The Trump Administration's efforts to accelerate AI data center infrastructure buildout are part of a broader AI Action Plan aimed at bolstering U.S. competitiveness in AI infrastructure critical to national security and economic prosperity.
[1] White House. (2025). Accelerating Federal Permitting of Data Center Infrastructure. [online] Available at: https://www.whitehouse.gov/briefing-room/presidential-actions/2025/07/23/executive-order-on-accelerating-federal-permitting-of-data-center-infrastructure/
[2] White House. (2025). Fact Sheet: Accelerating Federal Permitting of Data Center Infrastructure. [online] Available at: https://www.whitehouse.gov/briefing-room/statements-releases/2025/07/23/fact-sheet-accelerating-federal-permitting-of-data-center-infrastructure/
[3] White House. (2025). Executive Order on Accelerating Federal Permitting of Data Center Infrastructure. [online] Available at: https://www.whitehouse.gov/presidential-actions/executive-order-accelerating-federal-permitting-data-center-infrastructure/
[4] White House. (2025). Fact Sheet: Reversing Harmful Biden Administration AI Policies. [online] Available at: https://www.whitehouse.gov/briefing-room/statements-releases/2025/01/20/fact-sheet-reversing-harmful-biden-administration-ai-policies/
- This Executive Order aims to bolster America's leadership in AI and manufacturing by streamlining the regulatory processes for AI data centers and related infrastructure, thereby promoting data-and-cloud-computing technology.
- The Order also instructs federal agencies to simplify environmental reviews and expedite permitting for high-capacity projects, such as AI data centers and energy projects critical for business and industry.
- To support the financial aspects of these Qualifying Projects, the Order calls for government assistance in the form of loans, grants, and tax incentives, demonstrating a commitment towards technological growth and advancement in education.
- The Trump Administration's initiative to speed up AI data center infrastructure deployment is part of a comprehensive AI Action Plan, ensuring the country's competitiveness in ai technology, crucial for both national security and economic prosperity.
