Rising Electricity Bill:

In recent months, electric bills across the United States have sharply increased, and experts link the rise in energy costs to one major factor: the growing demand for electricity from data centers, especially those supporting AI advancements.The U.S.’s largest regional power grid operator, PJM Interconnection, reported a significant 22% rise in wholesale electricity prices for 2025, marking a record-high increase. This surge in prices will likely raise monthly electric bills by up to 5% for the 67 million customers in PJM’s service area, which spans 13 states, including parts of Delaware, Ohio, and Pennsylvania.

Rising Electricity Bill:

The rise in energy prices is primarily due to the expansion of AI-driven data centers. These data centers, particularly in areas like Northern Virginia and Columbus, Ohio, have been growing at an unprecedented rate, significantly driving up electricity demand. PJM has highlighted that growing energy consumption and rising electricity prices are putting pressure on consumers, especially in areas with a high concentration of data centers.

While the expansion of data centers is crucial for powering AI technologies, the increasing demand for electricity has placed a financial burden on residential and small business customers. Critics, including Maryland’s People’s Counsel David Lapp, have raised concerns over this trend, warning that it leads to a “massive transfer of wealth” from consumers to large corporations operating data centers and utilities. According to Lapp, the regulatory system is failing to protect residential customers, contributing to an affordability crisis in energy.

As electricity demand continues to rise, fuelled by AI and other technologies, experts predict that utility bills will grow at a faster pace than inflation. The situation will likely worsen over the next decade, as data centers and other sources are expected to drive a 2.5% annual increase in electricity demand.

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