Data Centers Cause Massive Electricity Drain
New information shows exactly how much electricity AI data centers use. According to ICF, a new study estimates that they will cause a surge of 9% in electricity use by 2028.
U.S.-wide electricity demand is expected to increase 9% by 2028 and 18% by 2033 —an increase of 2% per year on average compared to the current level in 2024. More importantly for electric grid planners, a similar trend is expected to pan out for electricity demand peaks. U.S.- wide summer peak demand is expected to increase 5% by 2028 and 11% by 2033 relative to 2024.
This is causing a political battle for electricity use and costs unless large tech companies can completely build their own data centers. Whether large tech players can harness wind, solar, and nuclear in local areas to power data centers is an open question.
Tech Need
If the tech companies need to tap into the national grid and draw electricity from traditional sources, there may not be enough supply. Rates could increase, or electricity could be rationed.
Another aspect of the argument is that AI could be the latest technological advance in a century. Chocking off energy for its data centers will add to the debate.
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