Coal power sees resurgence amid rising electricity demand from AI

The Electric Power Research Institute (EPRI), a U.S.-based nonprofit energy research group, warns that the increasing reliance on artificial intelligence (AI) complicates efforts to reduce fossil fuel use by electricity suppliers. As businesses adopt AI, particularly in data centers, the electricity demand is projected to surge significantly.

EPRI warns AI use raises energy demand

EPRI forecasts that by 2030, data centers could consume up to 9 percent of the total U.S. electricity, more than doubling current usage. EPRI Vice President Neva Espinoza highlighted the energy intensity of AI applications, noting that a typical interaction with AI platforms like ChatGPT uses about ten times more electricity than a standard Google search.

"As the world adopts generative AI technologies, we anticipate a substantial rise in global electricity demand," Espinoza stated.

The International Energy Agency (IEA) predicts that global electricity demand from data centers, AI, and the cryptocurrency sector could double by 2026. Power generation from coal rose to an all-time high in 2023, despite being the most carbon-intensive fossil fuel.

According to the U.S. Energy Information Administration (EIA), coal's contribution to U.S. electricity generation plummeted to about 16 percent in 2023, down from 52 percent in 1990, largely due to older plant closures. However, phasing out coal has faced significant challenges.

Alliant Energy, which operates a coal-fired power plant in Wisconsin, postponed its planned switch to natural gas—a cleaner fossil fuel—from 2025 to 2028. The company cited the need to maintain its large capacity and ensure affordable energy for consumers as key factors.

Alliant Energy delays switch to natural gas

First Energy, another major electric power company in West Virginia, announced it would abandon its target to reduce greenhouse gas emissions by 30 percent by 2030, complicating the path toward cleaner energy.

Experts emphasize that meeting the rising demand for electricity while addressing climate change is an urgent and complex task that could determine the planet's future.

Activists are intensifying efforts to highlight the urgency, staging demonstrations against financial institutions supporting fossil fuel projects. Bill McKibben, an environmentalist and author, co-founded Third Act, a movement aimed at mobilizing individuals aged 60 and over for climate action.

"The heat is serious," McKibben stated during a protest. "We must be the witnesses who persuade decision-makers to change course."

He warns that if current trends continue, global temperatures could rise by 2 to 3 degrees Celsius above pre-industrial levels by the century's end. "If we let that happen, we won't have familiar civilizations. That is too much violent flux and chaos occurring too rapidly."

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