AI Data Centre Boom Risks Global Energy Poverty Without Renewable Acceleration

The rapid expansion of artificial intelligence infrastructure and data centres threatens to push millions into energy poverty unless renewable energy deployment accelerates substantially, according to Lei Zhang, founder and chief executive of Chinese wind turbine manufacturer Envision.

Speaking to the Financial Times, Zhang warned that the AI revolution could leave significant populations struggling with rising electricity costs. His company, which has installed more than 80 gigawatts of wind turbines globally and captured 60 per cent of Chinese overseas turbine sales for three consecutive years through 2024, positions renewable energy as essential not merely for emissions reduction but for sustained economic prosperity.

The International Energy Agency’s Electricity 2026 report, published earlier this month, indicates that global electricity demand is rising at its fastest rate in 15 years. This acceleration is projected to continue through the decade’s end, driven by AI infrastructure, advanced manufacturing, and widespread electrification.

The IEA forecasts average annual growth exceeding 3.5 per cent through 2030. Advanced economies, particularly the United States, are witnessing a resurgence in power demand after years of stagnation. American electricity consumption rose 2.1 per cent in 2025 and is expected to grow nearly 2 per cent annually through the end of the decade, with data centre expansion accounting for half of this increase.

This new era of electricity demand, however, confronts significant infrastructure challenges. The IEA identifies more than 2,500 gigawatts of projects, encompassing renewables, storage facilities, and large-load developments such as data centres, currently delayed in connection queues worldwide.

The agency emphasises that accommodating the surge in power generation requires substantial investment in grid infrastructure. Without such investment, the capacity additions necessary to support the AI boom and prevent energy poverty amongst consumers facing elevated power bills remain unattainable.

Zhang’s perspective reflects a shift in the renewable energy narrative. Clean power is increasingly viewed as fundamental to long-term economic stability rather than solely as a climate mitigation tool, particularly as energy-intensive technologies reshape global electricity consumption patterns.