AI surge may make US data centers a top natural gas consumer by 2035
A new BloombergNEF report projects that US data centers will consume about 18 billion cubic feet of natural gas per day by 2035, nearly double the previous forecast. The growth is driven by AI demand, with on-site power plants and grid-connected facilities both contributing. This could raise gas prices and add significant greenhouse gas emissions.
The BloombergNEF forecast nearly doubles projections made just nine months earlier, while accounting for the reality that not every announced data center project will be completed. On-site natural gas plants from major tech firms will consume roughly 2.9 to 3.4 billion cubic feet per day by 2035, comparable to all data centers today. Grid-connected facilities will drive far more, adding about 15 billion cubic feet daily through the power sector.
Each cubic foot burned releases roughly 60 grams of carbon dioxide equivalent, including extraction and distribution. The projected demand would add about one million metric tons of greenhouse gas pollution daily, roughly 12 percent of current U.S. emissions.
This surge in natural gas demand could reshape energy markets and household finances. If prices rise as analysts at Noreva suggest, utility ratepayers may bear costs that tech companies can absorb more easily. Communities near new gas plants could face local air quality concerns, while the additional emissions may complicate U.S. climate commitments. The trade-off between AI advancement and environmental impact may become a defining policy question, affecting electricity reliability, energy affordability, and public health across the country.