AI Energy Demands Soar, Straining Grids and Fueling Emissions

Jul 16, 2025
University of Cambridge
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Summary

Surging energy demands from AI systems are straining power grids and fueling emissions, with data centers already consuming 2-4% of national electricity in major economies and AI potentially driving a 25-fold increase in the global tech sector's energy use by 2040.

Key Points

  • AI could drive a 25-fold increase in the global tech sector's energy use by 2040, straining power grids and accelerating carbon emissions.
  • Data centers already consume 2-4% of national electricity in the US, China, and Europe, with regional concentrations becoming extreme.
  • The report calls for the UK to add AI's energy footprint into national decarbonisation plans, set strict energy efficiency targets for data centers, and tie AI research funding to clean power adoption.

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