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Market Analysis

Global Electricity Demand from Data Centres Set to Surge with AI Expansion: Projected Consumption to Reach 1,300 TWh by 2035 – Business Upturn

Last updated: February 10, 2026 10:00 pm
Published: 2 days ago
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According to data published by Precedence Research, global electricity demand from data centres is expected to grow from 460 TWh in 2024 to 1,300 TWh by 2035, driven by the rise of AI and high-performance computing. Renewable energy sources like wind and solar are projected to provide 60% of the additional demand by 2035, while fossil fuels will decrease in importance as nuclear energy also plays a larger role.

Ottawa, Feb. 10, 2026 (GLOBE NEWSWIRE) — Electricity demand from data centres is projected to reach 1,300 TWh by 2035, largely due to the expansion of AI and HPC infrastructure, according to data published by Precedence Research. Renewables will provide the majority of the additional electricity needs, with significant growth in their share from 27% in 2024 to 60% in 2035, while coal and natural gas will see their contribution decrease.

As artificial intelligence (AI) and digital services continue to proliferate, the demand for electricity from data centres is projected to grow exponentially. From 460 TWh of electricity consumption in 2024, global data centres are expected to consume more than 1,000 TWh by 2030 and 1,300 TWh by 2035. This sharp rise in energy demand is driven by AI applications that require high-performance computing (HPC) infrastructure, including specialized Graphics Processing Units (GPUs) and other advanced hardware, which consume significantly more electricity than conventional servers.

Invest in Our Premium Strategic Solution: https://www.precedenceresearch.com/request-consultation/18

Data centres today account for 1.5% of global electricity consumption, and by 2030, this share is expected to increase to 3%. However, despite rapid growth, the electricity demand from data centres will remain a small fraction of total global electricity consumption, as other sectors like industry, transport, and space cooling will contribute more to the overall demand increase.

Energy Sources for Data Centres: The Shift Towards Renewables and Nuclear Power

Currently, data centres rely on a combination of coal, natural gas, renewables, and nuclear for their energy supply. The mix of these energy sources varies by region, with coal being the largest source, particularly in China, while renewables (wind, solar, hydro) supply around 27% of global data centre electricity.

Current Global Electricity Supply for Data Centres (2024)

Projected Energy Supply to Meet Data Centre Demand (2024-2035)

Electricity Generation for Data Centres by Region (2020-2035)

Electricity Supply in the United States (Base Case)

Electricity Supply in China (Base Case)

Impact of Sensitivity Cases: Energy Demand from Data Centres

The future energy demand from data centres depends on several factors, including AI adoption, energy efficiency, and the availability of renewable energy. The following sensitivity cases demonstrate how different factors can influence global electricity generation for data centres by 2035:

As data centres continue to expand to meet the needs of AI and digital services, their energy demand will grow rapidly. However, the shift towards renewable energy and nuclear power will help meet this demand in a sustainable way. While fossil fuels will remain important in the near term, SMRs and the ongoing growth of renewables will drive the future energy supply for data centres.

The energy sector must work in tandem with data centre operators to ensure that energy-efficient solutions are prioritized and that the integration of renewable and low-carbon energy sources is accelerated. Strategic investments in SMRs and renewable energy infrastructure will be essential in mitigating the environmental impact of the growing digital economy.

Invest in Our Premium Strategic Solution: https://www.precedenceresearch.com/request-consultation/18

Our Legacy: Rooted in Research, Focused on the Future

Looking for research that drives real results? Precedence Research delivers strategic, actionable insights, not just data and charts. Based in Canada and India, our team specializes in customized market analysis, executive-level consulting, and tailored research solutions that go beyond traditional survey methodologies to support business growth with precision and confidence.

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We turn complex data into clear, strategic insights that power confident business decisions.

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We continuously refine our methods to stay ahead of trends and emerging market forces.

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From tech to healthcare, we serve clients across sectors with tailored, actionable intelligence.

Customer-Centric, Future-Focused, Result-Oriented

We work as strategic partners, engaging deeply with clients to co-create impactful solutions.

Our Commitment: Delivering Intelligence That Drives Transformational Growth

What do we do? We turn data noise into clarity. Through sharp research, agile thinking, and tech-enabled tools, we fuel brands, disrupt markets, and lead with insight that drives unstoppable growth.

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