While the demand for additional electricity over the past 20 years has been in the range of a few percent per year, AI and data centers will need 10% or more per year alone for their power-hungry infrastructure. You will pay the price for this mistake as demand for electric power increases. The immutable rule for increasing demand while supply remains constant is that costs rise. With no alternative supply, they will continue to rise. Why would a monopoly want this to change? It is a guaranteed profit, all on the backs of hapless ratepayers.
Yes, you are not "customers". You are "ratepayers". The companies building data centers have stated that they will bid costs as high as necessary to get their power. Exceeding a dollar per kWh still realized massive profits for these centers, and some have stated they will be profitable at three dollars per kWh ($3 per kWh, or at least 15 times the current price). So, who will get electricity? Consumers who think electricity is expensive at $0.20 per kWh, or those willing to pay $3.00 per kWh.
No electric power system, except for nuclear, is scalable enough to meet this growing demand. Furthermore, the new types of nuclear power plants can recycle the slightly used nuclear fuel from the existing fleet of nuclear power plants that has accumulated over the past five decades, offering almost unlimited electricity at pennies per kWh.
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The roadblocks ahead are the monopolies of utilities, which have a high resistance to change, as they always have.
Yet, both AT&T and Standard Oil were "de-monopolized" by Federal mandate. Yet, arguably, the most essential commodity to citizens seems to be mandated to remain a monopoly by the same government (or, maybe not the same?). Electricity can be easily transmitted directly to customers through the electric grid, just like phone service is transmitted over radio networks. In fact, with the advent of modern Generation IV reactors, they can supply direct power without a grid. All we need to do is get the Government monkey off our back and relegate them to their original purpose of looking out for us all through creating and enforcing laws that mandate fair play in a free enterprise world.
Free enterprise in the electric power sector will unleash innovation and competition, resulting in the lowest electricity rates. All citizens will benefit from that, but, as always, you must demand it.
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About the Authors
Ronald Stein is co-author of the Pulitzer Prize nominated book Clean Energy Exploitations.
He is a policy advisor on energy literacy for the Heartland Institute,
and the Committee for a Constructive Tomorrow, and a national TV
commentator on energy & infrastructure with Rick Amato.
Oliver Hemmers has a Doctorate in Physics from the Institute of Radiation and Nuclear Physics at the Technical University of Berlin, Germany. He was a Researcher in Physics, the Executive Director of UNLV’s Harry Reid Center and C- level executive. small Modular Reactors (SMR’s).
Steven Curtis has 32 years of experience in all levels of project management and leadership. His breadth of experience includes DOE/NNSA, EPA, University of Nevada. Las Vegas, Desert Research Institute, Active Army, Nevada Army National Guard, and consulting for FEMA and DHS, Readiness Resource Group, Inc, and National Security Technologies, LLC. Steve is currently consulting or Readiness Resource Group, Inc. in the area of National Security.