US Data Centre Boom Drives $140 Billion Power Plant Buildout
America's data centre boom requires significant investments in new power plants to meet growing electricity demands. According to Moody's Ratings, the US$140 billion buildout will focus on building 45 gigawatts (GW) of new power generation by 2030.
The majority of this new supply - over 30 GW - will come from natural gas-fired units, representing a significant increase in gas consumption. Solar and energy storage will also contribute to the remaining supply, while nuclear restarts account for less than 5%.
This forecast is based on the International Energy Agency's prediction that data centres will consume 426 terawatt-hours in 2030, doubling their share of US electricity usage from 2025 levels. The White House has prioritized artificial intelligence and cloud computing as a national imperative, but this comes with costs - including rising power bills, pollution, water shortages, and threats to public lands and private property.
The $110 billion buildout could add $25-30 billion annually to electricity costs in the US. Data centres will pay for up to $15 billion of these costs directly by building their own power plants on-site. However, this is a complex issue, with federal and state politicians requiring more time to review and structure rates.