Energy Department announces partnership for major energy and data center project in Ohio

Chris Wright, U.S. Secretary of Energy
Chris Wright, U.S. Secretary of Energy
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The U.S. Department of Energy announced on Mar. 20 a new public-private partnership with the Department of Commerce, SoftBank, and AEP Ohio to redevelop federal land and modernize energy infrastructure in Southern Ohio. The initiative includes plans by SB Energy, a SoftBank Group company, to build 10 gigawatts of new power generation—primarily natural gas—to support a large-scale data center at the Portsmouth Site in Pike County.

The project aims to deliver lower electricity costs across the region, create thousands of jobs, and strengthen national security by supporting advanced computing needs. According to the announcement, these efforts will be carried out at no cost to American families.

U.S. Energy Secretary Chris Wright said, “Thanks to President Trump, the U.S. government is leveraging its assets—like our federal lands—to add power generation, create jobs, and ensure the United States wins the AI race.” Wright added that working with partners like SoftBank and AEP Ohio would help bring new power online and upgrade existing infrastructure to support technological growth while keeping costs down for Americans.

Commerce Secretary Howard Lutnick said, “Our Japanese partnership is a direct result of President Trump’s America First trade policies. Japan has committed to invest $550 billion across America. With this historic trade deal we are reindustrializing the country through critical projects like this $33 billion dollar power project in Portsmouth, Ohio.”

AEP Chairman Bill Fehrman said that without collaboration between all parties—including the Administration and SoftBank—the investment would not be possible: “This partnership unlocks billions of dollars of electric transmission infrastructure, all without increasing customer rates.” Masayoshi Son, Chairman and CEO of SoftBank Group Corp., said their work with DOE would “strengthen America’s AI leadership” and provide needed energy for future innovation.

Assistant Secretary of Environmental Management Tim Walsh described the partnership as “a major step forward for Southern Ohio’s economic and energy future,” emphasizing its role in restoring and revitalizing the Portsmouth site.

This announcement comes as part of broader DOE efforts to improve energy access and affordability nationwide. For example, the department previously launched a $225 million program funded by President Biden’s Bipartisan Infrastructure Law to implement resilient building energy codes aimed at lowering utility bills. Additionally, Secretary Jennifer Granholm has encouraged international cooperation on clean energy transitions through forums such as the Global Clean Energy Action Forum.

DOE has also highlighted technology development’s importance in environmental management missions; senior officials testified before Congress about national laboratory involvement in cleanup initiatives. Innovative approaches are being used elsewhere too: at Savannah River Site, passive processes using crushed marble have been applied for groundwater remediation.

Other recent DOE initiatives include $96 million in funding opportunities for clean vehicle technologies announced last July as well as 146 programs supporting President Biden’s Justice40 Initiative, which aims to direct 40% of certain federal investments toward disadvantaged communities.

Construction on the Southern Ohio project is expected to begin this year.



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