AI energy demands increase Google emissions by nearly 50%

Google's greenhouse gas emissions have increased by more than 48% since 2019, and its increased reliance on AI in its data centers has led to a dramatic increase in electricity consumption. The company's 2024 Environmental Report acknowledged that there are “significant uncertainties” in reaching its goals, saying that achieving its “highly ambitious” goal of reaching net-zero emissions by 2030 “will not be easy.”

In 2020, Google's parent company, Alphabet Inc. (NASDAQ:GOOG), announced a 24/7 CFE goal to run its entire operation on carbon-free energy by 2030 and match electricity demand with CFE supply every hour of every day.

Google revealed plans in May to spend $1.1 billion to expand its main data center in Finland because of the country's access to green energy, but the company will have to contend with a surge in electricity demand across industries in the Western world because of the ongoing AI boom.

Last year, power consulting firm Grid Strategies released a report titled “The Era of Flat Electricity Demand is Over,” which revealed that U.S. grid planners, including regional transmission operators (RTOs) and public utilities, have nearly doubled their five-year electricity demand growth forecasts. AI, in particular, is a major driver of electricity demand growth.

According to the Electric Power Research Institute (EPRI), data centers will consume up to 9% of the total electricity generated in the United States by 2030, due to the rapid adoption of power-hungry technologies such as AI. This will increase from about 1.5% today. For reference, last year, the energy consumption of the U.S. industrial sector was 1.02 million GWh, equivalent to 26% of the electricity consumption in the United States.

These findings aren't all that surprising when you consider how power-hungry AI servers really are: Digiconomist estimates that a single NVIDIA DGX A100 server could consume as much electricity as several U.S. homes combined, and a hyperscale data center could consume 1GW of power, the equivalent of the output of a nuclear power plant.

Article by Alex Kimani of Oilprice.com

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