California is home to more than half of the top artificial intelligence (AI) companies in the world, and although this makes it an industry leader, it also threatens to put a strain on the state’s power grid.
This week, KCBS Radio’s Matt Bigler reported on efforts to prepare for this strain, which is only expected to grow.
“Teresa Alvarado, regional vice president for PG&E, says they’re in talks with AI companies to find out just how many megawatts they may need in one to five years and conducting studies to find out if the grid can handle that great a load,” Bigler said.
Based in Oakland, Calif., PG&E is one of the largest utility companies in the nation. It provides natural gas and electric service to approximately 16 million people throughout a 70,000-square-mile service area in northern and central California.
“We’re looking at new substations,” said Alvarado. “We’re looking at new circuits. We’re looking at replacing transformers with higher capacity transformers. Any and all solutions to meet their need on their timeframe.”
CalMatters noted earlier this year that “artificial intelligence is an energy hog” and that a research scientist told NPR that every ChaptGPT is equivalent to running a lightbulb for 20 minutes. It also said that research indicates “its rapid spread could endanger California’s goal of eliminating all carbon emissions by 2045,” and the issue has led legislators to consider opening new nuclear power plants.
At the same time, some are hopeful that the rise of AI itself might help solve power grid issues. “Artificial intelligence will help us optimize how and when data centers use power,” said a November press release from PG&E titled “A Climate Optimist’s Stand for Our Planet” and last June PG&E partnered with a Silicon Valley startup to drive change in the AI industry and work towards meeting energy needs. The U.S. Department of Energy also said that AI has the potential to protect critical grid infrastructure.
“Many AI startups need the extra electricity yesterday, Bigler said. “Alvarado tells KCBS the increased power grid capacity should also decrease costs for customers by one to 2%.”