U.S. electricity usage is expected to grow to new highs in 2025 and 2026, according to a Tuesday projection.
The forecast, from the Energy Information Administration (EIA), the nation’s energy statistics agency, attributes the projected increases to power hungry data centers in the latest iteration of its Short Term Energy Outlook.
It states that power sales to the commercial sector will increase by 3 percent this year and 4.5 percent next year “largely by more demand from data centers.”
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Separately, it says that sales to industrial consumers are expected to increase 2 percent this year and 3.5 percent next year.
The projections come in contrast to stable energy use over the last few decades. Between 2005 and 2020 energy use only rose by 0.1 percent.
The latest projection comes amid growing concerns about the nation’s ability to keep up with energy demand and the potential for blackouts, higher energy bills and worse climate outcomes as a result.
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The analysis also predicts that retail electricity prices for households will increase by 4 percent in 2025 when compared to 2024, though the report notes that aligns with current trends, as prices have increased by about 5 percent on average each year since the pandemic.
President Trump, on his first day in office, declared an energy emergency and has sought to bolster fossil energy and nuclear power. However, his administration has also sought to slow the build out of solar and wind power.
