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AI’s Energy Appetite Could Double Data Center Power Use by 2030, Report Finds

AI’s Energy Appetite Could Double Data Center Power Use by 2030, Report Finds
Monday, 20 April 2026 16:15
  • Data center electricity use is expected to nearly double by 2030
  • Renewables and gas will supply most of the additional demand
  • Africa remains a marginal player due to limited digital and energy infrastructure

The rapid growth of artificial intelligence is driving a sharp rise in electricity demand, largely due to the expansion of data centers.

Global data center electricity consumption is expected to increase from 485 TWh in 2025 to 945 TWh by 2030, according to an April report from the International Energy Agency (IEA) titled Key Questions on Energy and AI.

To meet this demand, electricity generation dedicated to data centers will exceed 1,000 TWh by 2030. Renewable energy is expected to play a leading role, supplying more than one-third of this output, or about 360 TWh, an increase of over 200 TWh from current levels.

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Natural gas will also expand significantly. The IEA expects gas-fired generation for data centers to more than double, reaching about 340 TWh by 2030 and accounting for nearly 30% of the sector’s electricity mix. Together, renewables and gas are projected to supply more than 65% of total data center electricity demand.

Nuclear energy will also contribute to the increase, with output rising from about 75 TWh today to nearly 120 TWh by 2030. This growth reflects rising interest from major technology companies in stable, low-carbon power sources. Coal will remain part of the mix, especially in China, and is expected to account for about 20%.

Are Flexible Power Purchase Agreements Part of the Problem?

The report highlights a key limitation in current energy strategies. Data center operators often rely on power purchase agreements (PPAs) to secure low-carbon electricity. However, this electricity is not always produced at the same location or time that it is consumed, creating a gap between corporate commitments and the physical realities of power systems.

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In practice, actual demand is often met through the grid, which relies on dispatchable sources such as gas and coal. Solar and wind power remain intermittent, while data centers operate continuously. This mismatch increases reliance on fossil fuels to ensure grid stability and uninterrupted AI services.

In Africa, the report shows that the region remains a minor player in this global trend. Data center electricity consumption is expected to rise from 1.6 TWh in 2025 to 2.9 TWh by 2030. This reflects both structural constraints in power systems and the limited development of digital infrastructure across the continent.

Abdoullah Diop

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