US power use to hit record highs in 2026-27 on AI surge, EIA forecasts

US power consumption is expected to reach new record highs in 2026 and 2027, primarily driven by the escalating demand from artificial intelligence data centers and broader electrification trends, according to the US Energy Information Administration's (EIA) Short-Term Energy Outlook. The EIA projects total US power demand to increase from 4,195 billion kilowatt-hours (kWh) in 2025 to 4,288 billion kWh in 2026 and further to 4,356 billion kWh in 2027. This surge is largely attributed to data centers supporting AI and cryptocurrency operations, alongside increased electricity usage by homes and businesses transitioning away from fossil fuels for heating and transportation. Specific forecasts for 2026 indicate residential power sales of 1,541 billion kWh, commercial sales of 1,549 billion kWh, and industrial sales of 1,055 billion kWh. These figures are expected to surpass previous all-time highs set in 2025 for residential and commercial sectors, and 2000 for the industrial sector. In terms of generation sources, the EIA anticipates a continued decline in coal's share, falling from 17% in 2025 to 15% in 2027. Natural gas is expected to maintain its share at 40% in 2025 and 2026 before slightly decreasing to 39% in 2027. Renewable energy's contribution is projected to grow from approximately 24% in 2025 to 27% in 2027, while nuclear power's share is expected to remain stable at 18% throughout the period.