BAKU, Azerbaijan, October 11. The U.S. Energy Information Administration (EIA) projects a steady increase in U.S. electricity demand over the next two years, driven by higher temperatures and expanding industrial activity, Trend reports.
According to the EIA, electricity sales to ultimate customers are expected to rise by 2% in 2024 and another 2% in 2025 compared to 2023 levels.
Warmer summer temperatures, particularly in the upper Midwest and Northeast, played a key role in boosting electricity demand this year. The residential sector is expected to see the most significant increase, with electricity consumption forecasted to grow by 3% in 2024. This spike is largely due to the hotter-than-average summer, which has led to higher air conditioning usage. However, residential electricity sales are expected to moderate with just a 1% increase in 2025, as summer temperatures return closer to the 10-year average.
Commercial electricity consumption is also on the rise, driven by increased demand from data centers and warmer temperatures. The commercial sector is forecast to see a 3% increase in 2024, followed by a more modest 1% rise in 2025.
The industrial sector, however, is expected to experience the fastest growth in electricity demand. After a 1% rise in 2024, industrial electricity use is projected to surge by nearly 4% in 2025. This growth is attributed to new developments in battery and semiconductor chip manufacturing, which are set to boost energy demand across key regions.
