AI's power problem
U.S. utilities are rolling back pollution‑reduction goals and pointing to rising electricity demand from AI data centres as a key pressure on grids and bills. Reports say the trend is reviving coal in some regions, driving fresh orders for gas turbines as a short‑term fix, while firms like Meta are pursuing long‑term power deals such as a planned Oklo nuclear campus to secure capacity for AI workloads. (thecooldown.com) (ibtimes.sg) (turbomachinerymag.com) (sg.finance.yahoo.com)
American utilities are loosening clean-power plans as electricity demand from artificial intelligence data centers rises faster than grids can add new supply. (pbs.org) The U.S. Energy Information Administration said on January 13, 2026 that U.S. electricity demand is on track for its strongest four-year growth since 2000, driven by data centers. It expects power use to grow in 2026 and 2027 after earlier increases in 2024 and 2025. (eia.gov) In Nevada, NV Energy told regulators it may miss the state’s requirement for 50 percent renewable power by 2030 because proposed data centers would require huge new loads. The utility said it may need three times the electricity used by Las Vegas just to serve proposed projects. (pbs.org) (thenevadaindependent.com) In North Carolina, lawmakers overrode Governor Josh Stein’s veto on July 29, 2025 and erased the state’s interim target to cut power-sector carbon emissions 70 percent by 2030. The law kept the 2050 net-zero mandate but gave Duke Energy more room to build gas and nuclear plants as demand from data centers and factories grows. (wral.com) (pbs.org) The short-term fix is often gas. Turbomachinery Magazine reported in December 2025 that utilities, independent power producers, and large technology companies were turning to gas-fired turbines because they can be installed faster and run flexibly while transmission upgrades and renewable projects wait in line. (turbomachinerymag.com) Those turbines act like backup engines for the grid: they can start quickly when a data center needs steady power around the clock. The same report said hyperscale data centers can require hundreds of megawatts in places that were not built for that level of demand. (turbomachinerymag.com) Some utilities are also delaying coal retirements. The Associated Press reported on April 9, 2026 that Duke Energy is revising long-term plans in North Carolina to retire coal plants later and add more natural gas generation, while NextEra Energy has dropped its goal of reaching zero emissions by 2045. (pbs.org) Technology companies are looking for longer-term power deals that do not depend on the existing grid. Oklo said on January 9, 2026 that Meta agreed to support a 1.2 gigawatt nuclear campus in Pike County, Ohio, with pre-construction work set for 2026 and the first phase targeted for 2030. (oklo.com) Oklo said the Ohio site could scale to the full 1.2 gigawatts by 2034 and would sit on 206 acres in Pike County. The company said Meta’s funding would help secure fuel and advance early development for reactors meant to support Meta data centers in the region. (oklo.com) Utilities and tech companies say they are trying to keep power reliable as artificial intelligence expands. Environmental groups say the same buildout is pushing states away from renewable targets and toward more fossil-fuel generation just as electricity demand accelerates. (pbs.org)
