AI power demand underestimated in current forecasts, 81% of energy executives say
More than eight in 10 energy industry decision-makers expect artificial intelligence to drive electricity demand beyond current forecasts, raising concerns about whether there's enough global infrastructure to power the rapid expansion of data centres. A global survey commissioned by Adipec , Abu Dhabi's annual energy conference, found that 81 per cent of energy industry insiders believe…
A survey commissioned by Adipec, the Abu Dhabi energy conference, reveals that 81% of energy executives anticipate artificial intelligence to drive electricity demand beyond current projections, sparking concerns over global infrastructure capacity to sustain the rapid growth of data centres. The report, titled the Adipec Global Energy Report 2026, suggests that 32% of respondents believe demand will be significantly higher than expected, while only 3% anticipate a decrease.
The findings coincide with the escalating investments in power-hungry data centres by tech firms, presenting opportunities for power providers but also intensifying pressure on electricity networks. The International Energy Agency (IEA) predicts data centres will consume 950 terawatt-hours of electricity by 2030, approximately double the 2025 figure.
Data centre power demand has become a crucial aspect for energy producers and governments, with Abu Dhabi Sustainability Week in January predicting global electricity requirements from data centres could multiply by five by 2040. The report also highlights the evolving energy industry landscape, with technology and AI companies projected to gain the most influence, cited by 43% of respondents compared to 15% for governments and regulators.
Financial institutions and established oil companies follow at 15% and 14%, respectively. The close relationship between AI and energy is further emphasized by tech companies' role as leading drivers of investment in electricity generation and infrastructure. For oil and gas firms, AI-driven efficiency is anticipated to become the top commercial opportunity within a decade, with 27% of insiders identifying it as such.
The UAE, in particular, is investing in a 5-gigawatt AI campus, expected to cost over $30 billion, despite a quarter of energy insiders expressing concerns about the industry's readiness for AI-driven electricity demand.
Written by urgent.news from The National Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
