Investing in the Future: How to Match Increasing Energy Demand

As demand for energy increases across the United States, changes will need to be made to the aging electrical grid.  Investing in more resilient and efficient energy infrastructure will be vital moving forward. 

Certain technologies and lifestyle changes are causing spikes in energy consumption.  For example, the increased use of electric vehicles could add between 100 and 185 terawatt hours to the national electricity demand by 2030.  

AI has also contributed to an increase in energy demand.  Each AI server request requires around 8 watt hours of energy.  This is around 23x to 30x the energy of a normal internet search.  Additionally, NVIDIA plans to ship 1.5 million AI server units annually by 2027.  At full capacity, these servers would use 85.4 terawatt hours of electricity yearly. 

Unfortunately, the energy infrastructure in the United States is old and can’t keep up with this demand.  70% of transmission lines in the United States are over 25 years old, which makes them more susceptible to power outages and cyber-attacks. 

In order to bolster and improve the electrical grid, the United States is focusing on alternative power sources, especially nuclear energy.  Improving lead times and quality for necessary equipment can also make a big difference.  Speeding up interconnection queues is another important strategy, as it could instantly double power plants in the United States. 

In order to keep up with skyrocketing energy demand, the United States will need to address its aging infrastructure and invest in smarter power solutions.  

Source: ELSCO