Powering the Future Without Paralyzing It

The future of energy is rapidly evolving. The explosion of artificial intelligence (AI) and the enormous energy infrastructure it demands will continue to drive unprecedented electricity needs.

Goldman Sachs projects that U.S. power demand could grow by as much as 20% by the decade’s end, in large part due to the construction of data centers. These AI facilities are expected to account for nearly 8% of all U.S. electricity use by 2030, a 3% rise since 2022.

As technologies like artificial intelligence continue to expand, these data centers need reliable, round-the-clock power. Our legislative policies and regulations must rise to meet the moment.

How Litigation Tactics Are Undermining Project Development

In the last decade, the energy industry has seen a surge in litigation designed to delay projects’ construction and block permits, creating regulatory uncertainty and, ultimately, making energy infrastructure projects financially untenable. A prime example is the Mountain Valley Pipeline (MVP), where state permits were repeatedly challenged under the Clean Water Act. Virginia granted the MVP its water quality certification in 2021, which was upheld by the Fourth Circuit Court in 2023 after opponents sued. In West Virginia, similar legal tactics from environmental groups resulted in the state’s certification being vacated by the Fourth Circuit in April of 2023. Though West Virginia reissued its certification in June of that year, these types of legal tactics resulted in years of court hearings and construction delays that increased the project’s costs.

While at the Oklahoma Corporation Commission, I saw firsthand how important it is to implement smart and innovative regulations. Rules matter. Safety matters. Environmental protection matters. But rules and regulations have been inappropriately weaponized to stop critical infrastructure projects, and policymakers must recognize this growing pattern. Allowing these laws to be misused, not to ensure clean outcomes, but rather, to increase costs and the barrier to entry for energy projects, is not responsible policy; it’s sabotage.

The Race to Connect Data Centers with Reliable Energy

Data centers can’t run on good intentions. Many companies, whether Meta, Amazon, or Google, are co-locating their AI centers directly with power generation. Meta has finalized a 20-year agreement to harness nuclear energy to power its latest AI data center, while Google has committed to utilizing solar power to support its data centers’ operations.

Pressure on our energy infrastructure is quickly mounting, with pipeline companies receiving multiple requests to connect to more than 40 prospective data centers across 10 states. Earlier this year, Energy Transfer announced a deal to supply natural gas to a CloudBurst Data Centers facility in Central Texas, which highlights how traditional energy companies are stepping up to help power emerging technologies.

Though data centers will utilize different energy sources, the construction and connection will be a greater question than what powers the facility. In other words, what are federal agencies doing to enable innovation without stifling the growth of our energy future?

There’s no more straightforward answer than a true “all-of-the-above” strategy—one that embraces renewable development and recognizes the essential role of natural gas. Natural gas pipelines are stepping up quickly, adapting to support AI’s energy-hungry appetite. From Texas to Pennsylvania, these pipelines effectively bridge the gap between intermittent renewable energy sources and the constant energy needs of data centers and industries.

How Federal Leadership Can Enable Energy Innovation

The federal government is responding. Under President Donald Trump’s declaration of a national energy emergency, the Army Corps of Engineers is expediting pipeline permits under the Clean Water Act. This kind of stability and efficiency is not just beneficial; it is essential.

Federal agencies must stop dragging their feet and do their part to issue timely permits, provide clear guidance, and, crucially, conduct regular, forward-looking analyses on how energy demand is evolving in real time. The rise of AI is fueling the most significant power demand surge of our generation, and midstream companies like Energy Transfer are responding accordingly, engaging directly with data centers to build infrastructure that delivers onsite, gas-powered reliability. The private sector is moving fast to meet the moment. The federal government can’t afford to fall behind.

American energy policy must reject the false narrative between environmental progress and economic growth—both can and must advance together. The real threat lies in bureaucratic inertia that stifles innovation. A cleaner, more prosperous future requires investment, public-private coordination, and regulatory clarity. Natural gas is well-positioned to lead this transition. By guaranteeing that federal agencies act quickly, transparently, and in partnership with industry leaders, the next generation of energy innovation will be ready to power it.

—Patrice Douglas is a former commissioner with the Oklahoma Corporation Commission. She is currently an attorney at Spencer Fane where she counsels banks, energy companies, and utilities on legal, regulatory, and compliance matters.