A new report from the International Gas Union highlights how the rapid expansion of artificial intelligence, particularly AI data centres, is driving a surge in global electricity demand. These data centres operate continuously and require highly reliable power, creating challenges for grids that rely heavily on variable renewable energy sources like wind and solar.
The report emphasizes that while renewables will provide a significant share of future electricity, they alone cannot meet the continuous power needs of AI facilities. Gas‑fired generation, including natural gas power plants, can provide flexible, dispatchable electricity, making it an essential bridge to ensure reliability as grids transition and new generation capacity is added.
Analysts predict that gas‑fired electricity for data centres could nearly double by the mid‑2030s. Natural gas plants can ramp up quickly to meet peak loads, stabilizing grids and supporting the growing computational demands of AI technologies. Strategic energy planning must consider both renewable expansion and the rising electricity needs driven by AI.
Overall, the report concludes that natural gas will play a crucial role in powering the AI‑driven digital economy. It offers a pragmatic, lower‑emission alternative to coal and serves as a reliable complement to variable renewables, helping ensure continuous power supply for AI infrastructure as the energy transition progresses.
