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It’s a new heyday for gas thanks to data centers

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It’s a new heyday for gas thanks to data centers
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The US is now leading a global surge in new gas power plants being built in large part to satisfy growing energy demand for data centers. And more gas means more planet-heating pollution.

Gas-fired power generation in development globally rose by 31 percent in 2025. Almost a quarter of that added capacity is slated for the US, which has surpassed China with the biggest increase of any country. More than a third of that growth in the US is expected to directly power data centers, according to a recent analysis by the nonprofit Global Energy Monitor (GEM).

More gas means more planet-heating pollution

The rush to install more powerful hardware into expanding data centers used for generative AI has led to forecasts of skyrocketing power demand. There’s still a lot of uncertainty about whether AI will become as ingrained in everyday life as tech companies might like, and many proposed data centers could fall flat. Even so, plans to build out more gas plants in the name of AI are stalling efforts to transition to cleaner energy sources.

“There is a risk that this capacity could lock in future emissions and become stranded assets if anticipated electricity demand from AI never materializes,” Jenny Martos, project manager for GEM’s Global Oil and Gas Plant Tracker, said in a press release.

Already, 2026 is shaping up to be a record-smashing year for gas. If all of this year’s proposed projects cross the finish line, it would be an even bigger jump in added capacity than the record set in 2002. That’s pretty remarkable considering the 2000s ushered in America’s so-called “shale gas revolution,” when fracking suddenly unleashed previously hard-to-reach reserves. Gas is now a cheaper power source than coal and creates less carbon pollution when burned. But gas production releases methane, a more potent greenhouse gas than carbon dioxide even though it doesn’t persist in the atmosphere for as long.

A bar graph shows that the US tripled gas power plans to meet data center demand.

Image: Global Energy Monitor

Ramping up electricity generation from gas is also a sharp pivot away from global climate goals. A decade ago, nearly every country on Earth — including its two biggest greenhouse gas polluters, China and the US — signed a historic deal in Paris to limit global warming. The only way to achieve the most ambitious goals set out in the Paris agreement would be to replace fossil fuels with less-polluting alternatives like renewable energy and slash greenhouse gas emissions to net zero by around 2050.

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