Brace yourself: electricity bills could skyrocket by a staggering 142% as major power companies scramble to fund energy-hungry data centers.
According to the Daily Mail, major electricity providers are seeking massive rate hikes, including a 142% increase for individual consumers, to cover the costs of data centers fueled by AI demand, while warning of potential blackouts by 2030.
This year, power providers have already requested regulatory approval for $29 billion in rate increases during the first half alone.
That $29 billion represents a jaw-dropping 142% jump compared to the rate hikes requested in the same period last year, according to a recent report.
The surge in demand comes from the rapid integration of artificial intelligence across industries, requiring vast energy for data centers.
Utility companies argue these hikes are essential to repair infrastructure battered by climate change and to modernize an aging grid for growing needs.
Take National Grid, serving New York and Massachusetts: regulators just approved a $50 monthly increase per consumer, netting the company $708 million in extra revenue.
In April, PG&E, which serves 5.5 million Californians, requested a hefty $3.1 billion rate hike.
Shortly after, Oncor, a Texas provider for 13 million households, proposed an $834 million increase to its regulators.
While bills climb, the risk of blackouts grows—President Donald Trump’s Energy Secretary warned that data center demand could cause 800 hours of outages annually by 2030.
Secretary Chris Wright stated, “This report affirms what we already know.”
He added, “America's reindustrialization and the AI race will require a significantly larger supply of reliable power.”
Consumer advocates are sounding alarms, arguing ordinary Americans are unfairly saddled with costs driven by corporate AI needs instead of the tech giants themselves.
While some utilities impose large-load fees on big energy users like data centers, the true distribution of costs remains murky due to private negotiations, leaving regulators and the public in the dark.