Fossil Fuel Dominance: Trump's Agenda Drives Up Household Bills
The Trump administration's energy and AI dominance agenda is expected to raise households' bills by double-digit percentage points over the next decade, according to new research from Oil Change International. The primary driver of this increase will be the massive expansion of liquefied natural gas (LNG) exports, which has been boosted by the Trump administration's lifting of a previous pause on approving new LNG export projects and its backing of a large buildout of AI data centers that run primarily on fossil gas.
The demand for gas is expected to surge due to the growth of AI data centers, and producers will need to turn to the Haynesville shale play in Texas and Louisiana to meet this demand. However, production costs in the Haynesville are higher than in other areas, which means that prices will rise even further.
The wholesale price of fossil gas is expected to double over the next decade, with a possible increase from $3 to above $5 per unit. This will not only affect households but also businesses and industries that rely on electricity generated by gas power plants. Furthermore, communities near LNG terminals are likely to suffer from increased air pollution, causing health problems and premature deaths.