Data Centers Will Boost Reliance on Coal-Fired Power Plants

Image courtesy of Roman Ranniew under Attribution 2.0 Generic Deed, resized to 700 x 391 pixels.
The proliferation of massive data centers, driven by the ever-increasing demand for cloud computing, streaming services, and artificial intelligence, is likely to create a significant and often overlooked consequence – an increased reliance on coal-fired power plants.
Coal-Fired Power Plants to the Rescue?
The reason is simple. Data centers, housing thousands of servers that operate 24/7, require huge amounts of power to function and to keep cool. In fact, according to the DOA, 1 data center needs up to 50 times more electricity than a typical office building! Meanwhile, the predicted growth in power generation is not expected to be able to keep pace with the growth in data center power needs.
Renewable energy sources, while growing, simply cannot yet meet this exponential demand, especially in regions where data centers are strategically located for connectivity and cost reasons. This shortfall is frequently bridged by turning to the most readily available and affordable, albeit dirtiest, energy source: coal. Thus, many coal plant retirements have been postponed.
The implications are far-reaching. Increased coal consumption directly translates to higher carbon emissions, undermining global efforts to transition to cleaner energy. Furthermore, coal-fired power plants release harmful pollutants into the air and water, impacting public health and contributing to environmental degradation. For example, FirstEnergy’s Harrison plant in Virginia spewed an eye-watering 12 million tons of coal pollutants into the atmosphere in 2023 alone.
Both the tech and the utility industries now face a crucial challenge. The long-term solution requires a holistic approach, encompassing technological innovation, policy changes, and a fundamental shift in how we perceive and manage the energy footprint of the digital age.
Tech companies must aggressively pursue energy efficiency improvements within data centers, and utilities need to invest heavily in renewable energy infrastructure, and advocate for policies that incentivize clean energy development. Otherwise, the reliance on dirty, antiquated coal-fired power plants will continue to increase in the foreseeable future.

