U.S. utilities are planning a $1.4 trillion spending spree, up 30%, over the next five years amid the AI construction boom

U.S. investor-owned utilities plan record $1.4 trillion in capital spending through 2030, a 27% increase driven by AI data center construction and aging infrastructure upgrades. Consumer utility rates have surged 40% since 2021, with utilities requesting $31 billion in rate hikes in 2025—double the prior year—amid growing political backlash. Utilities defend the increases as necessary for grid reliability, though advocates argue more emphasis should be placed on maximizing existing grid capacity through battery storage and demand-response technologies before building new generation.