FuelCell Energy Rally Builds As Data Center Demand Grows FuelCell Energy NASDAQ:FCEL

The report indicates that total data center electricity usage climbed from 58 TWh in 2014 to 176 TWh in 2023 and estimates an increase between 325 to 580 TWh by 2028. Citing their excessive power demands, water usage, and effect on property values, communities across the country have swelled in opposition to data center construction. The International Energy Agency (IEA) estimates that data centers and data transmission networks combined account for roughly 1% of global energy-related CO2 emissions. However, this percentage is growing rapidly as digital services expand and AI applications proliferate. Worldwide, the IEA projects that these two dirty fuel sources will power over 40% of the additional electricity required by data centers until at least 2030. The agency adds that demand from upcoming plants will likely be «a significant near-term driver of growth for natural gas-fired and coal-fired generation.»

• For now, inference remains tethered largely to large-scale facilities, but the next phase of AI commercialization may test the boundaries between core and edge deployment models.
• But data centers’ ravenous energy needs have nonetheless received the brunt of the blame, with polling suggesting most households connect data center expansion with rising electricity costs.
• Sorting through the crush of proposals affecting data centers and large load energy users is a daunting task, so our Policy Watch team is zeroing in on some of the most interesting bills to watch this session.
• The agreement relied on a November 2025 Environmental Protection Agency rule proposal that allowed the DEP to revise its compliance schedule for the plant to meet the wastewater rules in the event of an “unexpected change” in electricity demand.
• ABOUT PEW RESEARCH CENTER Pew Research Center is a nonpartisan, nonadvocacy fact tank that informs the public about the issues, attitudes and trends shaping the world.

Behind-the-Meter Power Moves to the Foreground

Most recently, President Trump summoned executives from leading AI corporations to the White House to affirm the Ratepayer Protection Pledge, ensuring that expenses incurred by new AI data centers are not passed on to American consumers. It may also not always be clear exactly what drives upward increases in consumer energy prices, as unrelated investments in local grids, such as grid hardening and modernization, or overall inflation, may also weigh on households, Rouch added. U.S. President Donald Trump recently also acknowledged the problem for the industry, saying data centers «need some PR help.»

Best broad utility exposure

A PUE of 1.0 would indicate perfect efficiency—100% of incoming electricity powers IT equipment with no overhead for cooling, lighting, or power distribution. The computing power required for AI training has been doubling approximately every 100 days, far outpacing improvements in efficiency. This rapid growth in computing resources is driving unprecedented data center construction worldwide. Data centers accounted for 17% of electricity demand growth worldwide last year, according to the IEA report, compared with around 50% in the U.S. Frustrations over data centers could also play electoral spoiler as midterms loom later this year.

• Directs the Public Service Commission to condition permits for large load customers on paying for infrastructure improvements needed to interconnect and requiring that a data center be beneficial for ratepayers statewide.
• The decision means that Keystone Generating Station in Armstrong and Indiana counties, and Conemaugh Generating Station in Indiana County will have more time to meet new federal rules on toxic wastewater discharged from coal plants.
• Energy demand in the U.S. grew 2% in 2025, according to a report on the global state of energy published Monday by watchdog the International Energy Agency (IEA).
• FuelCell Energy is positioning to capture this demand with its 12.5 MW utility-scale power block.
• National Science Foundation (NSF), the Department of Energy (DOE), and the Defense Advanced Research Projects Agency (DARPA), which have placed importance on energy-efficient computing, will be essential in advancing sustainable AI research.

Modern Data Centers: Electrical Trends, Risks, and NEC® 2026 Implications

• Because data centers handle many types of workloads, it’s difficult to distinguish the exact share of their total electricity demand that comes from AI alone.
• AI-driven facilities are the industry to rethink power density, cooling, redundancy, and uptime as utilities face unprecedented load growth and capacity planning challenges.
• The Great Lakes region hosts about 20% of  U.S. data centers, according to a University of Virginia analysis.
• Data center computing is significantly more energy intensive than computing in general.
• One notable shift from past years is the rise in legislation placing a moratorium on data center construction.

Now, he said he sees an unprecedented connection between his research and its environmental impact. To make AI sustainable, he emphasizes the need for proactive solutions—streamlining AI models, developing greener infrastructure, and fostering collaboration across disciplines. In this Q&A, Kandemir discusses how forward-thinking approaches among the tech industry, researchers, and policymakers can ensure that AI continues to drive progress without deepening its environmental footprint. Within the data center segment, IEA wrote that computing power and cooling were the two most energy-intensive processes within data centers. Reduces tax incentives for data centers to replacement equipment https://otofast.info/electric-vehicles-and-renewable-energy-integration.html and repairs; HB 897 requires emission-free backup generators to maintain incentive eligibility.

Global trends in digital and energy indicators, 2015-2022

Cooling systems consume 30-40% of total data center power, making them the second-largest electricity user. All IT equipment generates heat during operation, and maintaining optimal temperatures (typically 68-77°F) is critical for preventing equipment failure. At least five U.S. states now see data centers consuming more than 10% of their total electricity generation, creating significant challenges for grid operators and energy planners. Artificial intelligence has developed rapidly in recent years, with tech companies investing billions of dollars in data centers to help train and run AI models.

Data centers also will need to add water to make up for evaporation and small leaks, Chien explained. Meta saw its Los Lunas center come online in 2019 and has since grown to house multiple buildings, with a third expansion slated over the next few years. Block added that Meta’s decision to locate there was also largely based on tax incentives offered by Valencia County. However, skepticism toward renewable energy commitments within the U.S.’ current administration has raised questions about how far such sustainability pledges will advance in the country, Howard said. Globally, these energy shortfalls could «create massive opportunities for energy producers, particularly when it comes to renewable energy,» he added. «Even in the absence of data center investment, we’d still expect some degree of upward pressure on price growth,» Rouch said.