- Electricity demand from data centers could more than double over the next decade, threatening U.S. grid reliability and increasing operational risks for other businesses, the Conference Board said in a May 30 report.
- Due to limited grid and transformer capacity and long permitting and interconnection timelines for new generation and transmission projects, expected data center load growth could slow the pace of the United States’ transition to a net-zero electricity system, the report said.
- “More positively, the broad adoption of AI tools might unlock greater efficiencies in the way electricity is used, as well as generated, stored and transported,” wrote authors Alexander Heil, senior economist at the Conference Board’s Economy, Strategy and Finance Center, and Ivan Pollard, leader for the Conference Board’s Marketing and Communications Center.
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