The White House has issued a warning that electricity prices in the U.S. could soar if the country fails to boost its energy output.
A new report from the White House Council of Economic Advisers highlights that the increasing demand from artificial intelligence (AI) data centers could surpass the energy needs of traditional heavy industries like steel and cement combined by 2030.
Electricity demand in 2024 grew by 2%, which is double the average annual increase seen in the past two decades.
To meet the growing demand, the U.S. must invest approximately \$1.4 trillion in energy infrastructure between 2025 and 2030.
If such investments are not made, electricity prices could rise anywhere from 9% to 58% by 2030, depending on the region and the speed of infrastructure development.
The report also highlights the competitive disadvantage the U.S. faces compared to China, which is producing about twice as much electricity and aggressively investing in nuclear power.
By 2030, the U.S. is projected to become the largest nuclear power producer in the world.
The White House has called for expanding access to energy resources on federal lands, including uranium for nuclear energy, and improving efficiency by linking regional power grids.
Failure to address these challenges could compromise the nation’s energy security and economic competitiveness.