Our Power Barometer 2025 leaves no doubt: electricity demand from data centres is climbing fast. By 2030, projections show consumption could more than double, reaching up to 287 TWh across the EU and UK. That’s nearly as much electricity as Spain’s annual consumption. And it’s not just about the sheer volume; it’s about the shape and speed of this demand. Unlike households or factories, data centres draw power constantly, cluster around cities and often need to be connected to the grid within months. With AI’s rapid rise, these pressures are accelerating.
Recognising this deepening interdependence and with AI and digitalisation set as one of the three core priorities of our 2025–2027 Presidency, we took a closer look this week at how innovation and infrastructure must evolve together. On one side of the Atlantic, we answered the European Commission’s call for evidence on AI and digitalisation in the energy sector providing a lay of the AI and Energy land and outlining five key recommendations to guide policy. On the other, we signed a Memorandum of Understanding with EPRI in California, officially joining the Open Power AI (OPAI) Consortium.
What’s the link?
AI models might be made of code but they run on electricity. And increasingly, they run on a lot of it. Every chatbot prompt, every image generation request, every smart service delivered in real time flows through a large-scale digital infrastructure powered by data centres. These facilities are expanding fast and AI-specific ones use up to 20 times more electricity than conventional sites.
By 2030, data centres alone could account for over 20% of power demand growth in advanced economies. In the EU, total data centre consumption is expected to reach between 149 and 287 TWh annually – up to a 170% increase since 2022.
And the grid isn’t quite there yet. Grid connection delays stretch up to 13 years in Europe’s digital hubs. Data centre clusters in Ireland already consume nearly 20% of the country’s electricity. Meanwhile, grid operators are struggling to get ahold of components – transformer lead times now average 2.5 to 4 years.
But AI is also a solution. Across the electricity value chain, smart algorithms are already driving efficiency gains and reducing emissions. Machine learning helps operators produce sharper renewable forecasts, reducing reliance on fossil-based backup. Predictive maintenance tools detect equipment faults before they cause outages, cutting downtime and costs. Weather-aware scheduling enables better balancing of supply and demand, while AI-powered demand response tools allow homes, buildings and businesses to shift consumption away from peak hours. As AI evolves, so too does its potential to support a more flexible, resilient and decarbonised power system.
Energy powers AI, but AI can power energy too. If deployed responsibly, it can make the system more efficient, flexible and secure.
A roadmap for a promise: Eurelectric’s Consultation Response
However, to harness that promise, we need a plan. That’s why the European Commission is preparing a Strategic Roadmap on digitalisation and AI in the energy sector and why Eurelectric contributed to its consultation.
In our response, we did two things. We gave a lay of the land, and we gave some recommendations on how the next steps should be organised.
The lay of the land. AI holds immense potential to reshape how Europe produces, manages and consumes electricity, but the system is not fully ready yet to deploy it at scale. Data is siloed and energy actors face uncertainty over where AI fits into the existing regulatory framework. On the ground, system operators lack guidance on which AI applications are deemed high-risk in an ever-uncertain cyber environment and where liability lies. At the same time, critical infrastructure like grids and data centres are under growing strain.
Recommendations. To overcome these barriers and seize the benefits of AI, we outlined five key recommendations:
- Data readiness for AI: Without high-quality, interoperable data, there can be no AI at scale. We call for investment in data quality, governance and access, especially for grid and operational data.
- Sustainable data centre integration: Europe must manage speculative connection requests and match new demand with grid planning. Early dialogue is key.
- Guiding roadmap with recommendations: We welcome a coordinated, complementary EU plan that avoids overlaps with existing legislation.
- Build on existing structures: Use what works – new initiatives should build on existing ecosystems and governance structures not reinvent the wheel.
- A European AI initiative: We support a Horizon-funded foundation model for energy applications, trained in a trusted EU data environment and tailored to our system’s needs.
Putting words into action
But policy alone won’t be enough. That’s why our Secretary General Kristian Ruby, Head of Policy Cillian O’Donoghue, and Business Developer Augustin Chabrol set sail for the U.S. West Coast this week to engage directly with the tech giants shaping the AI frontier. From Google to AWS to Microsoft, they met with energy and data leaders to explore a core question: how can we future-proof our power systems for the next wave of digital demand?
One thing became clear. As Europe prepares policy roadmaps and regulatory guidelines, the most credible path forward is to lead by example. It’s not enough to recommend action – we must show what that action looks like.
That’s why, during a high-level roundtable hosted by the Bits & Watts Initiative at Stanford University, Eurelectric signed a Memorandum of Understanding with the Electric Power Research Institute EPRI. This agreement formalises our entry into the Open Power AI (OPAI) Consortium a collaborative effort bringing together utilities, researchers and technology leaders across the Atlantic.
Through OPAI, our goal is to:
- Accelerate the responsible deployment of AI in power systems
- Strengthen grid resilience and cybersecurity
- Reduce system costs and operational inefficiencies
- Improve services for consumers and prosumers
The MoU isn’t just a symbolic gesture. It’s a step toward building shared tools, testing real-world use cases and aligning Europe’s AI ambitions with global innovation. Because whether it’s planning grid connections, training models on sector-specific data or ensuring AI doesn’t deepen inequalities, the challenges we face are bigger than any single continent.
What’s Next?
AI is a structural and cultural shift, and one that will shape the future of our power system.
The Strategic Roadmap for AI in energy is an important milestone. The OPAI Consortium adds a global layer. Together, they must steer Europe toward a digital transformation that supports, not destabilises, our grids, customers and climate goals.
For Eurelectric, that means continuing to advocate for smart rules, smart infrastructure and smart partnerships.
Because as electricity powers AI – AI must also help power Europe.
This blog post was originally published as part of Eurelectric’s LinkedIn Friday Features. Subscribe here to stay updated and never miss an edition.
Disclaimer: This article is for communication purposes only and may not reflect Eurelectric positions. Any positions taken in this article shall not be attributable to Eurelectric’s official positioning. Official Eurelectric positions are reflected only in position papers published here.