Summary

  • An International Energy Agency (IEA) report has concluded that AI will drive significant increases in electricity demand.
  • Data centres used 0.3 terawatt hours of electricity in 2020 but this is expected to increase nearly 30% to nearly 1,000 terawatt hours in the next five years, which will account for more than Japan’s total electricity consumption in 2023.
  • The increase in demand is expected to be met by a combination of fossil fuels, nuclear, and renewables, with the IEA being relatively optimistic about the potential for renewables.
  • However, the report also concludes that the demand from data centres is going to be far outstripped by the combined impact of electric vehicles, air-conditioning and domestic appliances.
  • In addition, data centres pose a unique challenge to the power grid as they tend to be clustered together and close to population centres, which will place a strain on local infrastructure.

By Casey Crownhart

Original Article