American Petroleum Institute outlines policy solutions to meet rising power demand

American Petroleum Institute (API) President and CEO Mike Sommers addressed the Economic Club of Pittsburgh where he discussed rising electricity demand driven by the artificial intelligence (AI) revolution and detailed policy solutions for the Trump administration and new Congress to power America’s energy future.

“The scale of America’s energy need is breathtaking, and we have the opportunity to power that future,” Sommers said. “The electricity AI will need is unprecedented. By one estimate, if we want to keep the bulk of AI on American soil, we’ll need to dedicate about 51 gigawatts just to data centers. That’s equal to 103 percent of all the generation capacity in Pennsylvania.”

After nearly two decades of relatively little change, U.S. power consumption is projected to increase 25 percent over the next seven years, explained Sommers. In less than a decade, the U.S. will require about 1,000 terawatt hours of additional power—the amount the entire country of Japan generates annually. Yet in 2023, America produced less electricity than we had five years prior.

“We have the opportunity to write the next chapter,” Sommers said. “To rebuild our failing infrastructure, we need sensible permitting reform. We need to green-light LNG exports and process pending applications. We need to open up leasing, onshore and offshore, and ensure the American people’s federal lands and waters are working for them.”

Sommers emphasized President Trump’s “energy mandate” and pointed to API’s Five Point Policy Roadmap as the path forward for the new administration and Congress.

“Americans want our leaders to channel the proactive, pioneer spirit that made us the greatest nation and economy in world history,” Sommers said. “A new American century needs American power. … Let’s seize this moment, face our destiny, and unleash the energy America needs.”