The digital transformation of the energy system is advancing in leaps and bounds. According to a report by the North American Electric Reliability Corporation (NERC), by 2028 data centres could consume up to 12% of total electricity in the United States—triple their share in 2023. This global trend forces us to reflect on our own preparedness.
A local reflection
In the June episode of the Valiant Community podcast, we asked whether the local electricity market is preparing or planning for the impact of two factors: first, the electrification of transport; and second, the boom in data centres, a space in which Argentina aspires to play a role.
Although transport electrification is at a very early stage, our data centres are tiny by comparison (around 40 versus 4,000). Even so, what is happening in the United States—described by the Financial Times—is highly instructive. The boom has left many states on the back foot and without a playbook, as they try to manage an exponential rise in consumption without neglecting the impact on end-user tariffs.
We are talking about additional charges totalling up to USD 29 billion. These funds are not only for new generation; they are also intended to adapt networks and infrastructure to a demand expected to double over the next 10 years.
The question is straightforward: what should we be thinking about—and doing—today to avoid the same bottlenecks already facing more advanced markets? And who should lead this agenda: the public sector, the private sector, or both?
