Data center development and a manufacturing expansion will drive US electricity consumption 2 percent higher in 2026 and another 2 percent in 2027, the US Energy Information Administration said this week. Total sales are forecast to reach 4,211 billion kWh in 2027, a record level, according to the agency's latest Short-Term Energy Outlook.
Growth is led by the commercial sector, where the agency expects electricity sales to rise 3.3 percent in 2026 and 2.7 percent in 2027. That sector accounts for 63 percent of the increase in electricity sales this year and 56 percent of the increase next year.
Generation grows in line with electricity use in the forecast. Natural gas generation is expected to rise 2 percent this year and 1 percent in 2027, while coal generation falls 8 percent and then 6 percent. Solar generation is projected to grow 21 percent in 2026 and 18 percent in 2027. Wind generation grows 7 percent this year and 5 percent next year.
Demand inside the PJM Interconnection market accounts for close to 45 percent of the total US generation growth the agency expects, with natural gas driving the 2026 increase and gas, coal and wind driving the 2027 increase. Solar additions are concentrated in the Electric Reliability Council of Texas and the Midcontinent Independent System Operator markets. EIA projects added solar generation of 18 billion kWh in ERCOT and 13 billion kWh in MISO this year, followed by another 20 billion kWh in ERCOT and 11 billion kWh in MISO in 2027.
Source: Utility Dive - https://www.utilitydive.com/news/data-centers-manufacturing-us-electricity-use-eia/830038/