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>>American data centers have increased power expenses by $6.5 billion, heightening concerns about AI energy consumption.

American data centers have increased power expenses by $6.5 billion, heightening concerns about AI energy consumption.

crypthub

4 days ago

Rising Energy Costs

Data centers in the U.S. added $6.5 billion to electricity prices after a PJM auction, pushing total electricity charges to $23.1 billion for June 2025‑May 2028. This makes them the fastest‑growing load on a grid that serves about 20 % of the population. The surge raises power bills for businesses and households alike.

Drivers of Demand

AI and cloud workloads require constant high‑performance computing, which consumes large amounts of power. Servers generate heat, demanding continuous cooling that adds further electricity use. Expanding the grid with new lines and substations to support these loads increases overall system costs.

Regulatory Response

State regulators are imposing fees so tech firms cover infrastructure expenses, and FERC has ordered PJM to price data‑center usage more accurately. The aim is to allocate grid costs fairly between massive users and ordinary consumers. These measures seek to curb energy inflation while allowing the tech sector to keep growing.

American data centers have increased power expenses by $6.5 billion, heightening concerns about AI energy consumption.

Rising Energy Costs

Drivers of Demand

Regulatory Response

American data centers have increased power expenses by $6.5 billion, heightening concerns about AI energy consumption.