Big Tech's race to power artificial intelligence data centers is fueling a surge in planned U.S. natural gas power capacity, which reached 378 GW in development in the first half of 2026. Amazon, Microsoft and Nvidia are backing new gas plants, even as rising costs and public opposition threaten to slow the buildout.
Big Tech bets on gas-fired power
Surging electricity demand from AI data centers is causing a natural gas revival in the United States. Planned gas-fired power capacity tied to data centers nearly doubled in the first half of 2026 alone, as major technology companies turn to massive new power plants to meet the growing needs of hyperscale data center campuses.
Amazon is building a gas-fired power plant in Texas that could become the single-biggest source of power-related emissions in the entire United States if developed according to current plans, which include seven gas plants. Nvidia announced it would team up with Japan's SoftBank and the federal government to build the United States' largest fossil-fuel plant, which will power an Ohio project for OpenAI. Microsoft, meanwhile, is in talks with Chevron for a $7 billion gas-powered data center in Texas.
Demand outpaces supply
As of the first half of 2026, the United States had 378 GW of gas-fired power capacity in development, up 50% in six months, according to Global Energy Monitor. Of that, 189 GW was tied directly to data centers, and the U.S. now accounts for roughly one-third of all planned gas-fired capacity worldwide.
A June report from Business Insider found that data centers permitted through 2025 could use between 224.3 and 358.8 terawatt-hours of electricity annually, a 50% increase over the previous year — roughly as much power as all of Mexico consumes in a year. Yet supply may not keep pace: gas turbine suppliers are warning of yearslong lead times, and it remains unclear whether all the planned plants will actually be built.
Backlash could slow the buildout
Political pressure is building. In the United States, 75% of voters oppose new data center development in their area, according to a Heatmap poll, and Texas has paused new data center projects altogether. Maryland People's Counsel David Lapp told Business Insider: "We are witnessing a massive transfer of wealth from residential utility customers to large corporations."
Google, Microsoft and Amazon all saw their emissions jump by double-digit figures year-over-year, with AI-driven data center growth as the main driver.
Source: Oilprice.com
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