Electric Utilities Can’t Keep up with Surging Demand

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Power generation plant
We are using electricity faster than we can build new plants to produce it.

The cloud is sucking up all our electricity, threatening to leave consumers in the dark. I’m not talking about storm clouds; I’m talking about computer servers and crypto mining.

Data centers, which drive the cloud and power the new AI technology, are being built all across the country. This may give us instant access to our digital photos and data, but it’s a huge drain on our electrical grid. According to this article, it is a grave deficit:

In Georgia, demand for industrial power is surging to record highs, with the projection of electricity use for the next decade now 17 times what it was only recently….

Northern Virginia needs the equivalent of several large nuclear power plants to serve all the new data centers planned and under construction. Texas, where electricity shortages are already routine on hot summer days, faces the same dilemma.

With demand expected to nearly double over the next five years, shutting down nuclear power plants and decommissioning coal generation couldn’t come at a worse time. But power generation is just one of the obstacles. Even if you can produce extra power, you have to move it to where the demand is, and there aren’t enough high transmission power lines. Getting permits and approval for new generation plants and transmission lines is taking longer than ever.

This is making my planned investment in solar power look even better. Not only can we survive without grid power, it will lower our consumption at a time when demand is driving up the cost per kilowatt.

Published 3/7/2024. Read full article.