Brookings·Apr 19, 2026

US Utilities to Spend $1.4 Trillion Over 5 Years on AI Power Demand

US Utilities to Spend $1.4 Trillion Over 5 Years on AI Powe…

TL;DR

America's largest investor-owned utilities are entering a historic $1.4 trillion, five-year capex cycle, driven largely by surging electricity demand from AI d…

America's largest investor-owned utilities are entering a historic $1.4 trillion, five-year capex cycle, driven largely by surging electricity demand from AI data centers. Global data center power is projected to approach 1,050 TWh by year-end 2026.

US Utilities to Spend $1.4 Trillion Over 5 Years on AI Power Demand

Key Points

1

$1.4T utility capex over the next five years

2

Data center power may hit ~1,050 TWh in 2026

3

Would rank data centers as the 5th-largest national energy consumer

Why It Matters

The AI build-out is quietly reshaping U.S. energy policy, grid planning, and climate trajectories.

energydata-centersutilitiesclimate

Frequently Asked Questions

Why does this matter?

The AI build-out is quietly reshaping U.S. energy policy, grid planning, and climate trajectories.

What happened?

America's largest investor-owned utilities are entering a historic $1.4 trillion, five-year capex cycle, driven largely by surging electricity demand from AI d…

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