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Surging Data Center Growth to Help Lower Energy Costs for PG&E Customers
- Pacific Gas and Electric Company announced on May 27, 2025, in San Jose that data center electricity demand is surging across its service area.
- This growth follows a trend where data centers powering cloud storage and AI are expected to require about 8.7 gigawatts over the next decade.
- PG&E is overseeing 18 data center developments in the late engineering stage, representing nearly 1.4 gigawatts of capacity, primarily located in Silicon Valley, with operations expected to commence between 2026 and 2030.
- PG&E projects that for each gigawatt of additional electricity demand driven by data centers, customers could experience a long-term reduction of 1-2% in their monthly electric expenses, while benefiting from some of the nation’s cleanest power sources.
- PG&E is actively studying and grouping new project applications, collaborating with developers like Westbank on a net-zero community in San Jose, potentially benefiting all customers through cost savings.
35 Articles
35 Articles
The Mercury news
PG&E sees “huge” data center demand in San Jose area as tech expands
SAN JOSE — PG&E is being flooded with requests for new data centers as big tech’s hunger for energy intensifies amid the artificial intelligence boom, a surge that could ease the jumps in monthly customer bills. The utility titan said it already is studying requests for new data centers that combined would require 8.7 gigawatts of electricity to operate. This might just be the start, however, as PG&E extends what is evolving into a dramatic and …
PG&E Sees Surge in AI Data Center Interest With Fresno Area Emerging as New Hotspot
(Reuters) – PG&E, California’s largest electric utility, has seen a jump of more than 40% this year in requests for power supplies from data center developers across the northern part of the state, an executive with the company told Reuters on Tuesday. California’s Silicon Valley is one of the world’s largest and oldest data center markets, but analysts have widely said that pricey land and costly electricity will limit the state’s ability to ca…
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