Amping Up Datacenter Demagoguery Re: Rising Electricity Costs (From RealClearEnergy)
Left unchecked, early November 2025 will go down as the Rubicon when datacenters became the scapegoats for higher electricity costs. The messaging campaign has been aggressively launched and is gaining traction.
The reality, however, is fundamentally different.
Electricity prices were already on an upward tear before President Trump took office and implemented policies to accelerate the growth of datacenters. In fact, the widespread expansion of datacenters over the next decade can catalyze the substantial reduction of electricity costs while also improving grid reliability, thereby lessening service outages.
According to the Federal Reserve, nationwide electricity prices rose 31.6 percent from January 2021 to January 2025, compared with underlying inflation of 21.4 percent
in the Consumer Price Index (CPI). Thus, electricity prices rose 48 percent more than other goods and services.
Paul Steidler discusses this in an Op-Ed in RealClearEnergy here.
Find Archived Articles: