Government predicts data centers to consume more electricity

 

 

The growth of data centers and AI across the U.S. will result in their increased demand for electricity in the next few years and the Department of Energy predicts it will triple by 2028. It also claims renewable energy will be able to meet the demand.

Demand already tripled in the past decade according to the Department of Energy which released the  2024 Report on U.S. Data Center Energy Use produced by Lawrence Berkeley National Laboratory (LBNL) which outlines the energy use of data centers from 2014 to 2028.

The report finds that data centers consumed about 4.4% of total U.S. electricity in 2023 and are expected to consume approximately 6.7 to 12% of total U.S. electricity by 2028. The report indicates that total data center electricity usage climbed from 58 TWh in 2014 to 176 TWh in 2023 and estimates an increase between 325 to 580 TWh by 2028.

The report estimates that data center load growth has tripled over the past decade and is projected to double or triple by 2028. U.S. electricity demand is projected to account for data center expansion and the rise of artificial intelligence (AI) applications, domestic manufacturing growth, and electrification of different industries. DOE has anticipated this growing demand trend — it reflects robust industrial investments in America and national leadership on technology innovation. The Department continues to develop advanced technologies and leverage its resources to meet rising electricity demand in the United States while maintaining a reliable, affordable, and secure national energy system.

“The United States has seen an incredible investment in artificial intelligence and other breakthrough technologies over the last decade and a half, and this industrial renaissance has created greater demand on our domestic energy supply,” said U.S. Energy Secretary Jennifer M. Granholm.

“We can meet this growth with clean energy. Lawrence Berkeley National Laboratory’s report on data center energy usage crucially underscores why the Department of Energy has developed and is deploying technologies to enable continued economic growth across American industries.”

DOE is leveraging its resources to meet increasing electricity demand while improving critical infrastructure and advancing American economic competitiveness. DOE resources span the entire power system, from new generation and storage technologies to enhancing and expanding the transmission system to maximizing efficiency and flexibility of demand resources. DOE’s key strategies for meeting data center energy demand include: