AI Data Centers Are Skyrocketing Energy Bills

The rapid increase in AI data centers in the US is severely driving up electricity prices in surrounding areas. Energy demand is exploding, and the burden of the bills is being passed on to the public. Here are the details:
The rapidly proliferating AI data centers across the US are affecting not only the technology sector but also the energy costs for millions of citizens. According to a new analysis by Bloomberg, wholesale electricity prices for consumers living within 80 kilometers of these facilities have increased by up to 267% since 2020. The reason for this surge is cited as the pressure on electricity grids from the massive processing power required by artificial intelligence.
The Growing Energy Thirst of Data Centers Is Hurting Ordinary Consumers’ Pockets

AI infrastructures consume huge amounts of energy to process billions of data points every day. This leads to the need for expanding grid capacity and increasing maintenance costs. Since about two-thirds of the country’s electricity consumption is met by regional grids, this additional burden is directly reflected in the bills of local residents. This jump in energy costs is negatively impacting fixed-income households in particular.
Baltimore is one of the clearest examples of this trend. According to data Bloomberg obtained from energy analytics firms Grid Status and DC Byte, wholesale electricity prices in the city have increased by 125% in the last five years. An average household paid an additional $17 per month on their electricity bill last year. Experts predict this difference will rise by another $4 by 2026.
The situation is even more critical in Texas, as data centers have become the single largest source of new power consumption across the state.
Energy experts state that this growth brings not only economic but also environmental consequences. Bloomberg estimates that the energy demand from data centers will double by 2035, accounting for 10% of the US’s total electricity demand. This increase is described as the biggest energy surge seen since the widespread adoption of air conditioning in the 1960s. Increased use of fossil fuels could also boost carbon emissions and contribute further to climate change.
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