Oil, gas seen supplying most power growth from data centers

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The surge in AI use and the data centers are set to boost power demand from data centers by 500% by 2040, UAE minister Al Jaber said.

Hydrocarbons are expected to provide roughly three-quarters of the projected rise in electricity demand from data centers as AI use expands and more facilities are built, according to comments from ADNOC CEO Sultan Al Jaber at Abu Dhabi Sustainability Week. He cited an estimate that power demand from data centers could increase by about 500% by 2040, and said oil and natural gas are likely to remain central to meeting that growth for decades.

Al Jaber also pointed to significantly higher infrastructure spending needs, saying the scale-up of AI and data center development is lifting global energy investment requirements to around $4 trillion per year, including funding for grids, data centers, and multiple energy sources. For additional context on how AI-related load is influencing the power market, see U.S Natural Gas Power Is Booming Thanks to AI and Texas approves $13.8B plan for Permian Basin grid.

Source: OilPrice.com
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