The average American’s energy bill could increase from 25% to 70% in the next 10 years without intervention from policymakers, according to a new study from Washington, D.C.-based think tank the Jack Kemp Foundation.

According to reports, America is facing an energy crisis, with demand for energy soaring due to the proliferation of AI and hyperscale data centers, which can use as much energy as almost 40,000 homes;  the boom in advanced manufacturing, and the movement toward electrification. 

Written by economist Ike Brannon, a senior fellow at the foundation, and economist Sam Wolf, the report explains partly why so many utilities and regional transmission organizations are having to get creative to meet demand.

“During the previous two decades, power demand in the United States scarcely grew as the U.S. shifted from a manufacturing to a services economy,” the authors wrote.