US EditionAmerica's largest power grid is struggling to meet demand from AI
UNITED STATES, JUL 7 – The US electric grid faces rising blackout risks due to AI data center demand and retiring baseload plants; outages could increase 100-fold by 2030, the Department of Energy warns.
- In June 2025, the US Department of Energy took urgent action to avoid power outages in the southeastern region of the country amid escalating electricity demand and concerns about grid reliability.
- This order followed a year-long upheaval at PJM Interconnection triggered by an over 800% jump in power capacity auction prices and increased demand from data centers and AI.
- PJM serves 67 million customers across 13 states and faces supply shortages because new projects totaling 46 gigawatts face local opposition, supply chain, and financing delays despite replacing 104 gigawatts retiring by 2030.
- Secretary Chris Wright emphasized that the United States cannot risk further reducing its energy capacity and highlighted the critical need for dependable power to fuel reindustrialization efforts and maintain competitiveness in the AI sector.
- The situation implies higher electricity prices and significant outage risks, with blackout risks rising up to 100-fold by 2030 if firm baseload capacity is not added rapidly.
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Blackout risks rising as AI, reindustrialization push strain grid
The Trump administration warned Monday that the risk of blackouts could be 100 times greater by the end of the decade, as the race to develop artificial intelligence (AI) and the push to reshore manufacturing strain the electrical grid. In a new report, the Department of Energy noted that 104 gigawatts of power capacity are set…
·Washington, United States
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Leaning Left1Leaning Right0Center7Last UpdatedBias Distribution88% Center
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C 88%
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