AI's Gas Crisis: Shortage Threatens Data Centers
Update: 2025-12-23
Description
The AI boom faces a major challenge: a severe shortage of underground natural gas storage. Data centers require reliable gas supplies, but pipelines can fail, leaving facilities dark. Enbridge is expanding storage in Texas and Louisiana, but demand is exploding and pipes are already maxed out. Energy experts warn this gap will spike bills and cause volatility, with hurricanes posing the biggest threat. A few projects are underway, but the industry is lagging and facing a super-cycle catch-up. Capitalism should eventually solve it, keeping AIs backbone powered reliably alongside renewables.
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