Gas‑burn surge threatens UK climate: 100+ data centres demand 15 TWh, spark power crisis
Synopsis
Data centre developers are increasingly turning to private gas-fired electricity systems as AI growth strains existing power grids. Ofgem estimates proposed UK projects alone could require nearly 50GW of electricity capacity. Regulators and energy analysts are monitoring the impact on infrastructure, emissions targets and long-term electricity supply planning.
AI-driven data centre expansion is increasing pressure on electricity grids, prompting developers to pursue private gas-powered energy systems while regulators review infrastructure, emissions and future power supply challenges.
Key Highlights
- Proposed UK data centres could require electricity capacity above Britain’s current peak national demand.
- AI-related electricity demand is increasing pressure on power grids across several major technology markets.
- Wapseys Wood project plans include up to 350MW of private gas-powered electricity generation capacity.
- IEA expects global data centre electricity demand to more than double by 2030 due to AI growth.
Private gas-fired power systems are increasingly being constructed by data centre developers, as artificial intelligence infrastructure starts to grow, but is held back by electricity grid delays, reports regulatory and industry sources show.
The transition is moving into the spotlight as AI demand for electricity increases in key technology markets, not just Britain. The push for large data centres, with their constant, high-volume energy demands, is placing increasing pressure on grid operators, regulators and energy companies in several countries.
Nearly 50 GW of electricity capacity, which exceeds the peak demand in Britain of about 45GW, would be needed to power around 140 proposed data centres in the UK, Ofgem recently estimated.
Industry sources indicate that it can take up to 15 years to connect some of the electricity grid and just one year or less for the gas.
AI reshapes energy planning.AI transforms energy planning
AI tools and cloud computing have significantly ramped up energy demand in the data centre industry. A study from the International Data Center Authority (IDCA) revealed that data centres now consume around 6% of the power used in Britain and the U.S. compared with the average in the world of 2%.
This has also popped up in other key markets. Pressure from the rapidly expanding electricity use of data centres has been a concern for Ireland's central bank and the grid operators, and Singapore has been tightening its approval requirements for new data centres due to energy shortages.
In the U.S., a range of companies, including infrastructure builders and utilities, is building gas generation facilities in close proximity to AI-oriented data centres, notably in Texas and Virginia, which are two of the world's biggest server markets.
Private Power Projects are expanded
The £2bn Wapseys Wood complex in Buckinghamshire is one of the largest schemes proposed to go hand-in-hand with the trend. The site could contain between 270MW and 350MW of gas-based electricity generation onsite for hyperscale computing centers, as outlined in the planning documents.
Under UK planning rules the project is designated as a nationally significant infrastructure project. Hydrogen-based technology is possible for the future energy systems at the site, but gas is the first energy source mentioned in current plans, developers said.
If data centres keep relying on natural gas generation rather than cleaner electricity resources, emissions will increase significantly as operators' future plans go ahead, warned Carbon Brief analysis.
The global problem of grid bottlenecks becomes a reality
AI computing alone will account for much of this electricity demand rise from data centres around the world, which the International Energy Agency (IEA) said earlier this year will more than double by 2030.
Meanwhile, operators are racing to industrial sites with existing power connectivity, which has been identified as a new “powered land” market competition in the key infrastructure sector, recently.
FAQs
Q1. Why are AI data centres turning to gas-fired power systems?
Many operators face grid connection delays lasting up to 10–15 years, making gas connections significantly faster for large-scale facilities.
Q2. How much electricity could new data centres require?
Ofgem estimates proposed UK data centres alone could require nearly 50GW of electricity, exceeding Britain’s current peak demand levels.
Q3. Which countries are facing rising data centre electricity pressure?
Britain, Ireland, Singapore and the United States are among markets seeing growing strain from AI-related data centre electricity demand.
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Pooja Malik is a business journalist with over six years of experience covering startups, entrepreneurship, and emerging trends. She has previously worked with leading media platforms such as YourStory Media and BW BusinessWorld, where she reported on business, policy, and market developments. Currently, she serves as Editor at The Inspirepreneur Magazine, where she writes and edits stories across business, lifestyle, and travel, with a focus on clarity, accuracy, and reader relevance.
