Demand for natural gas power is growing, threatening progress on climate change

The surge in electricity demand from AI companies is unexpectedly boosting natural gas power plants in the US, contrary to climate goals. Tech companies are building new power sources, but are increasingly relying on natural gas for its affordability and reliability. This contradicts projections of a gradual shift towards renewable energy sources like solar and wind. The construction of new gas plants is a significant setback for US greenhouse gas reduction targets. Experts warn that building new gas plants will impede achieving net-zero emissions by 2050. While renewable energy projects are available, utilities are hesitant to fully transition away from natural gas. Enverus forecasts a substantial increase in gas-fired power capacity in the next five years. Several large-scale gas plant projects are underway, fueled by the AI boom, cryptomining, and reshoring initiatives. Despite concerns, industry officials highlight efforts to improve efficiency and reduce emissions from gas plants. However, environmental advocates stress the need for aggressive reductions in gas reliance to meet climate commitments.