"AI" drives energy consumption to record levels - Data centers will significantly increase demand in the US
Data centers, which require a lot of energy to power artificial intelligence and cryptocurrencies, will push electricity consumption in the US to record levels.
The U.S. Energy Information Administration predicts that energy demand will increase to 4.193 billion kilowatt hours (kWh) in 2025 and 4.283 billion kWh in 2026, from a record 4.097 billion kWh last year.
In addition to data centers, American homes and businesses are expected to use more electricity for heating and transportation.
The report predicts that energy sales in 2025 will increase to 1.517 billion kWh for residential customers, 1.474 billion kWh for commercial customers, and 1.055 billion kWh for industrial customers. These projections compare to record levels for the respective categories over the past 25 years.
According to the Administration, the share of natural gas in power generation would fall from 42% in 2024 to 40% in 2025 and 2026. Coal would remain at 16% in 2025, before decreasing to 15% the following year, as more production from renewable sources is expected.
The percentage of green energy generation will increase to 25% in 2025 and 27% in 2026, while the share of nuclear energy will remain at 19% in 2025, the same as in 2024.
The report predicts that gas sales in 2025 will increase to 371 million cubic meters per day (mcm/d) for residential customers, 274 mcm/d for commercial customers, and 665 mcm/d for industrial customers.
This compares to record levels in 1996 for residential customers, in 2019 for commercial customers, and in 1973 for industrial customers.

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