Surging Energy Demands Threaten U.S. Grid Stability

Increased electricity demand, driven by AI and EVs, poses a challenge for the U.S. electrical grid, warns NERC. Amid aging infrastructure and retiring coal plants, the grid risks struggling to meet future needs.

The North American Electric Reliability Corporation (NERC) has raised alarms about the growing demand for electricity outpacing grid upgrades across the U.S. and Canada. With over 115 gigawatts of coal capacity slated for closure in the next decade, the demand is challenging grid reliability. John Moura, NERC’s director of reliability assessment, highlighted this ‘profound change,’ noting the 15% rise in summer demand over the next decade. 

Tech-driven electricity needs—including AI, crypto mining, electric vehicles, and heat pumps—are contributing significantly to this surge. Winter demand is projected to increase by 149 gigawatts. Existing infrastructure struggles to support this shift, as it wasn’t designed for the modern battery-powered world. While some propose renewable energy and nuclear power as solutions, the latter’s waste disposal issues and public hesitance about nuclear safety remain hurdles. NERC warns that without action, nearly every U.S. jurisdiction might face energy shortages soon.