EIA: US power consumption will reach new highs by 2025 and 26.

The Energy Information Administration's short-term energy forecast on Tuesday predicted that U.S. electricity consumption would reach record levels in 2025 and in 2026.

The EIA predicted that power demand would rise to 4,191 kilowatt hours in 2025, and 4,305 kilowatt hours in 2026. This is up from the record 4,097 kWh of 2024.

These increases are due to the data centers that focus on artificial intelligence, cryptocurrency, and homes and businesses using more electricity for heating and transportation and less fossil fuel.

EIA predicts that power sales for residential customers will reach 1,508 billion kWh in 2025, while commercial customers are expected to sell 1,487 trillion kWh and industrial customers 1,053 trillion kWh.

These forecasts are compared to the all-time records of 1,509 billions kWh for residential customers in 2022, as well as 1,434 trillions kWh by 2024 for commercial clients, and 1 064 billions kWh by 2000 for industrial customers.

According to the EIA, natural gas' share in power generation will drop from 42% by 2024 to 40 % in 2025 and in 2026. Coal's share of power generation will increase from 16% to 17% by 2025, before slipping back to 16% by 2026 due to the rise in renewable energy.

According to the outlook, renewable energy will increase from 23% to 24% by 2025, and to 26% by 2026. Nuclear power will decline from 19% to 18% between 2024 and 2025.

Gas sales for residential customers would increase to 13 billion cubic foot per day in 2025, while commercial and industrial customers will see a rise of 9.8 billion cubic feet per days. Power generation, however, is expected to fall to 36 BCFd.

This compares to all-time records of 14.3 billion cubic feet per day (bcfd) in 1996 for residential customers, 9.6 billion cubic feet per day in 2019 for commercial clients, 23.8 million cubic feet per day in 1973 for industrial consumers, and 36.9 billion cubic foot in 2024 for electricity generation. Reporting by Scott DiSavino, Editing by Rod Nickel

(source: Reuters)