IEA Forecasts Data Centers Will Double Electricity Consumption by 2030

According to a recent report from the International Energy Agency (IEA), the electricity demand from data centers is projected to more than double by the year 2030. This significant increase is driven primarily by the rise of artificial intelligence, with global consumption expected to reach 945 terawatt-hours, a figure that surpasses the total electricity usage of Japan.

In the United States, the electricity consumption of data centers is anticipated to exceed the combined energy production of all energy-intensive industries, including cement, chemicals, and steel, by 2030. The IEA notes that the trend of artificial intelligence is contributing to a resurgence in electricity demand, particularly in affluent economies where consumption had either stagnated or declined in recent years.

This surge in demand poses new challenges for energy sectors, as data centers increasingly become the primary consumers of electricity. Their necessity extends beyond the growing reliance on artificial intelligence to include the deployment of 5G mobile networks, as well as the expanding markets for cloud services and streaming platforms.

The IEA report emphasizes the urgency for energy providers to adapt to this shifting landscape. As data centers require more power, there will be an increased pressure on existing energy infrastructures to meet these demands sustainably.