# US Fossil Fuel Infrastructure Expansion Surges Amid Rising Data Center Demand Renewable energy growth slows as the Trump administration prioritizes fossil fuel development for power grids. - **Source:** [The Verge (theverge.com)](https://www.theverge.com) - **Published:** 2026-10-19 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/801a88f5-06d6-444b-ae86-9918302f9a8b ## Shift in Energy Infrastructure The United States is currently developing more fossil fuel infrastructure than at any point in the last decade. This trend marks a significant departure from previous growth patterns, as renewable energy projects face increasing headwinds. The nation is now at a critical inflection point regarding its future power grid emissions and reliability. ## Rising Electricity Demand Drivers Electricity demand is climbing at its fastest rate in over ten years, fueled by the rapid expansion of AI data centers, new factories, and electric vehicle integration. These sectors require consistent, high-capacity power, which the current administration argues is best served by prioritizing fossil fuel projects over intermittent wind and solar sources. ## Policy Impact on Renewables The Trump administration has actively sought to hinder wind and solar development by issuing stop-work orders, blocking essential permits, and removing critical tax incentives. Consequently, renewable energy projects are being canceled at a rate of 4.9 percent, significantly higher than the 2.9 percent cancellation rate observed for fossil fuel-based power projects. ## Fossil Fuel Pipeline Growth Plans for new fossil fuel infrastructure have surged, climbing from 5 percent of all new capacity in 2024 to 30 percent by the second quarter of 2026. Projections suggest that fossil fuels could dominate 70 percent of the development pipeline by 2030, reaching a total capacity of 68 gigawatts, a 45 percent increase. ## Economic and Cost Disparities Utility-scale solar and wind remain more cost-effective at $68 to $69 per megawatt-hour compared to $90 for new combined-cycle natural gas plants. Despite these lower costs, the shift toward gas-fired power continues, potentially locking in higher electricity prices for consumers for decades while increasing exposure to global energy price volatility. ## Environmental and Health Consequences The reliance on gas and coal power plants introduces significant air pollutants and greenhouse gas emissions, contributing directly to climate change. Beyond environmental impacts, these emissions lead to increased public health costs. As utilities upgrade grids to meet rising demand, these externalities are increasingly reflected in the rising electricity bills nationwide. ## Data Center Energy Reliance The rapid proliferation of AI data centers is the primary driver behind the current energy infrastructure scramble. While some forecasts suggest this demand might be overblown, current development pipelines are heavily weighted toward fossil fuels to ensure immediate, reliable power availability, effectively sidelining the previous momentum of the renewable energy sector. ## Long-term Grid Implications Decisions made today regarding energy infrastructure will dictate the cost, reliability, and emissions profile of the US power grid for decades. By favoring fossil fuel expansion, the current administration is fundamentally altering the nation's energy landscape, potentially reversing years of progress in transitioning toward a cleaner, more sustainable power generation model. ## Sources covering this story - https://www.theverge.com/science/1013954/fossil-fuel-power-infrastructure-data-centers-report — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._