The U.S. Department of Energy (DOE) has unveiled a range of resources and incentives to accelerate the development of AI data centers. Key initiatives include establishing a dedicated AI data center engagement team to support the sector and facilitate regular meetings with data center developers, clean energy providers, grid operators, and other stakeholders to drive innovative solutions.

In a recent blog post, the DOE emphasized its preparation for a significant increase in electricity demand, driven by the national goal of achieving net-zero emissions by 2050. The department anticipates that electricity demand will at least double. To manage this, the DOE plans a comprehensive approach involving clean energy technologies, energy efficiency improvements, and grid modernization. Its focus includes deploying grid-scale clean energy, enhancing infrastructure, and optimizing efficiency to address both immediate and future needs.

The DOE’s support encompasses grid-scale clean energy deployment, grid enhancement, energy efficiency improvements, demand-side flexibility, and technical assistance. It also highlighted various tax and loan incentive programs available through the department.

“Short-term growth in data center electricity demand presents an opportunity to expedite clean energy deployment, enhance demand flexibility, and modernize the grid while maintaining cost-effectiveness,” the DOE noted.

Data centers, especially those supporting AI, are a major contributor to this demand increase. The Electric Power Research Institute (EPRI) projects that data centers could account for up to 9% of U.S. electricity by 2030. To support this, the DOE is preparing resources and incentives for clean energy projects, grid enhancement, and technical assistance..

The DOE announced that the Lawrence Berkeley National Laboratory (LBNL) will release a report at the end of 2024 on current and projected energy consumption and water use in data centers. The previous 2020 report is highly regarded as one of the most comprehensive studies of data center power consumption.

An August proposal from the DOE’s advisory board also suggested developing an AI data center testbed, along with several other initiatives to advance AI data centers.