AI Exhaustion: The U.S. government must regulate how much energy AI companies can use

“Did you hear? The AI boom is 17 times larger than the Dot Com boom!”

“‘Guess what? AI is set to replace all jobs by 2150!’”

“Holy cow, check out these new Snapchat AI filters!”

Artificial Intelligence has left us with constant amazement and confusion. It can do everything from create images of Korean presidents eating puff pastries or planning out an almond mom’s wellness journey and schedule, but it’s increasing energy prices for consumers at unfathomable rates.

The U.S. government needs to take action in regulating AI’s energy usage and determine a better energy source than the main power grid that 162 million people across the U.S. use.

AI churns through hundreds of gallons of freshwater, uses thousands of kilowatts of energy and requires acres of data servers that go into the laser-fast generation to write that English essay everyone forgot was due tomorrow.

But until recently, AI’s energy usage hasn’t been at the forefront of consumer concerns. 

A 2023 Energy Report uncovered that AI is responsible for 4% of all energy used in the U.S. This number is expected to triple by 2028.

“So what? Why should I care about AI’s blooming energy expansion?”

The answer is an Econ 101 lesson as old as time — supply and demand. 

Energy in the United States and in most developed countries comes from a centralized source or an energy grid. This one source powers businesses, consumers and the government. And energy prices are controlled by the supply and demand of the market, with their distribution done on a state-by-state level.

So, with more people deciding to hop on over to ChatGPT for the answers they could find with an easy Google search, AI data centers demand more energy. And prices? They increase exponentially. 

But who suffers from these price hikes? Consumers. Yet they have no clue that the same cheat code AI program that helps their productivity is the reason that money seems to be running from their bank account. 

As of Sept. 4, 41 states have declared price increases on electricity in the next year. Kansas and Missouri were among these states.

These price increases aren’t a new scheme by Big Energy to crush the bottom line. Last year, approximately half of nationwide energy-using consumers were affected by price increases of around 7% on electricity, gas and other utilities — largely due to AI usage. 

7%. Whatever. What is 7%? 

7% represents more than just one slightly more expensive check mailed to Evergy every month. 7% represents the beginning of AI’s grasp on energy and energy prices.

The government can’t allow AI to continue to burn through energy at a rate that consumers can’t handle. 7% last year, could be 15% this year and 25% next year. 

The question is, at what point does AI’s rapidly insatiable demand make energy impossible for anyone except for the top one percent to access?

The only solution to this problem is government regulation. 

It’s impractical to completely ban AI companies’ use of the common electricity grid, but it must be regulated so prices don’t become unattainable for consumers. 

If AI continues to tap their energy from the well of the people, energy will simply be unaffordable for anyone who wants to run a load of laundry or plug in their computer after a long day of emails and Microsoft Excel spreadsheets.  

With a simple restriction, minimizing AI’s allowed usage of energy, the government can incentivize the further development of alternative energy sources that are independent from the same energy that powers our daily lives.  

The leading developers of AI technology are already pursuing new ways to power their data centers. META, Google and Amazon have started buying up former nuclear power plants for clean energy with a constant output.

Nuclear power is most certainly not a perfect solution due to its operational risks, but a precedent and example of how AI companies can adjust to alternative energy sources that don’t directly impact consumers. 

Without regulating AI’s consumption of energy accessed from the energy grid, the government risks rendering the average consumers’ access to energy impossible. 

Through encouragement for independent energy sources and a regulatory cap on the amount of energy that each AI company is allowed to access, the government can ensure that prices will remain within reach and that energy is accessible.

But if the government allows AI to continue to chow through the energy grid like a hobo on a ham sandwich, consumers should know that the only way to get electricity is to scientifically uncover a new energy source.