Artificial intelligence and data centers currently account for approximately 1.5% of global electricity consumption, raising significant questions about future energy demand and the environmental impact of rapid technological growth.

Key Points

• Data centers consumed 485 terawatt-hours of electricity in 2025, with AI-focused facilities accounting for roughly one-third of that total.
• A standard text-based AI query consumes approximately 0.24 to 0.34 watt-hours, while complex agentic tasks can require up to 50 watt-hours.
• Electricity demand for data centers is highly concentrated, with some U.S. states and regions like Ireland seeing local consumption exceed 10% to 20% of total supply.
• The International Energy Agency projects that data center electricity demand could rise to 3% of global generation by 2030 as AI adoption accelerates.
• Total energy impact depends heavily on the carbon intensity of the local power grid rather than just the volume of electricity consumed.

Why it Matters

While the aggregate global energy footprint of AI remains relatively small, the geographic concentration of data centers creates significant pressure on local power grids and infrastructure. The long-term environmental impact will be determined by whether these facilities are powered by renewable energy sources or carbon-intensive grids as demand continues to scale.