A new report, US National Power Demand Study, by S&P Global Commodity Insights projects a 35-50% increase in US electricity demand between 2024 and 2040, driven by data centers, manufacturing, electric vehicles (EVs), and space-heating electrification. The rapid rise in demand is outpacing the development of new power generation, creating an urgent need for faster permitting and grid expansion.
To maintain grid reliability, the report estimates an additional 730-765 GW of renewables, 160-175 GW of storage, 60-100 GW of gas, and 10-25 GW of nuclear and geothermal will be required by 2040. Energy efficiency improvements are expected to reduce demand by 8%.
America already possesses the technology necessary to bridge this gap between demand and supply, the report stresses. The study urges policymakers and industry leaders to accelerate permitting, reform interconnection processes, upgrade infrastructure, and enhance demand-side management.
The US National Power Demand Study was commissioned by the Alliance to Save Energy, American Clean Power Association (ACP), American Petroleum Institute (API), Clean Energy Buyers Association (CEBA), National Electrical Manufacturers Association (NEMA), Nuclear Energy Institute (NEI), and the U.S. Chamber of Commerce.
