Uncertainty and upward bias are inherent in data center electricity demand projections

Electricity demand forecasts for U.S. data centers are characterized by uncertainty and overestimation, with significant implications for the Southeast. The analysis reveals a mismatch between projected demand and global semiconductor production capacities, indicating that current forecasts are unrealistic. Key issues include redundant service requests from developers, lack of scrutiny in cost-of-service models, and economic risks to ratepayers due to underutilization of energy infrastructure. Additional factors such as bottlenecks in energy generation equipment also hinder demand growth.