After years of relatively flat growth, global electricity consumption is increasing again, driven by energy-intensive sectors like data centers, artificial intelligence (AI), and broader electrification across industries.

According to the U.S. Department of Energy and Lawrence Berkeley National Laboratory, data centers accounted for about 4.4% of total U.S. electricity consumption in 2023 and could rise to 9.5%–15% by 2030, depending on growth scenarios. This increase is largely driven by AI workloads, which require more computing power and cooling.

At the same time, electrification across transportation, manufacturing, and buildings is adding pressure on grid systems. The International Energy Agency (IEA) notes that electricity demand is now projected to grow significantly faster than overall energy demand in the coming years.

These trends are expected to increase competition for power supply and contribute to greater variability in electricity pricing.

Source: IEA.org