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AI’s Energy Appetite: What Data Centers Mean for the Future of Electricity Prices

Discover how AI-driven data centers are reshaping electricity demand, prices, and why smarter HVAC and efficiency are critical for sustainable growth.

Ava Montini

Jan 27, 2026

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Powering intelligence, shaping energy


Artificial intelligence has gone from “what if” to “what now.” We use it to draft reports, analyze data, streamline workflows, and even generate design ideas. But while the results appear on our screens instantly, what powers them is anything but invisible.


Behind every AI tool is a data center; rows of servers drawing massive amounts of power and generating equally massive amounts of heat. And with AI adoption soaring, those facilities are putting real pressure on our electricity grids.


Bloomberg recently reported that in PJM, the largest U.S. grid, capacity prices jumped sharply as AI-driven data center demand climbed (Bloomberg). For operators, this is a direct hit to energy budgets.


So while AI is exciting, it comes with a new operational reality: efficiency in cooling, airflow, and HVAC isn’t optional. It’s the difference between runaway costs and sustainable growth.


Why AI is different from past computing booms


Previous waves of digital growth (like cloud adoption) drove steady data center expansion. But AI is different. Training large models consumes enormous amounts of energy. The International Energy Agency estimates that data center electricity use could nearly double by 2030 to around 1,000 TWh, roughly equal to Japan’s entire annual consumption (IEA).


And it’s not just training. Inference: the everyday process of users asking questions or running AI tasks is multiplying demand across millions of devices. Goldman Sachs forecasts a 165% increase in data center power demand by 2030, largely due to AI (Goldman Sachs).


Cooling: a hidden energy driver


When people think about data centers, they picture racks of servers. But behind that computing load is another energy giant: cooling.

HVAC, chillers, pumps, and fans often make up 30–40% of total energy use in data centers (U.S. DOE). That means the “support systems” keeping servers at safe temperatures can rival the IT equipment itself in energy demand.


And because these systems run 24/7, even small inefficiencies snowball:

  • A high-resistance filter forces fans to draw extra kilowatts all day, every day.

  • A dirty coil reduces heat transfer, stretching compressor runtimes.

  • A miscalibrated damper throws airflow off balance, raising both costs and emissions.


Clogged filters can cut supply airflow by over 35%, driving higher fan power and cooling loads (MDPI). Others highlight how loaded filters in constant-speed systems directly increase electricity use (University of Texas at Austin).


Now scale that across a hyperscale AI-driven facility. A 3% efficiency penalty may look small on paper, but in practice, it can cost hundreds of thousands of dollars annually and add unnecessary CO₂e to your footprint.


That’s why low-pressure, high-efficiency filtration matters. It cuts resistance without sacrificing capture, reducing fan energy hour after hour. For operators under pressure from rising power prices and sustainability goals, it’s one of the simplest ways to shrink cooling costs while protecting uptime.


Why efficiency pays off more now

Energy savings have always lowered costs. But as grids get stressed and data center demand rises, the value of each saved kilowatt is climbing. Bloomberg recently reported that capacity prices on PJM, the largest U.S. grid, have spiked because of new data center growth (Bloomberg).


In practical terms, this changes the math:

  • A coil cleaning that once took years to pay for itself can now pay back in just a few months.

  • Smarter controls and calibrated ventilation keep you protected when prices swing.

  • Low-pressure filtration quietly reduces fan energy every hour, stacking up bigger savings as electricity prices rise.


The bottom line is that efficiency has become one of the fastest and most reliable ways to control operating costs in an unpredictable energy market.


Building smarter, not just bigger

For operators, the roadmap isn’t a mystery. The tools are already here:

  • Low-pressure filtration to keep fans efficient hour after hour.

  • Adaptive cooling strategies like variable-speed fans, economizers, and containment to right-size energy use.

  • Monitoring-based commissioning and diagnostics to stop efficiency losses before they become routine.

  • Load shifting and grid-aware operations to tap cleaner, cheaper hours of power (IEA).


Every watt counts

As AI expands, data centers will continue to carry a heavier share of global electricity demand. That makes efficiency less of an option and more of an operating requirement.


The lesson is simple: efficiency and reliability are not competing goals. When facilities prioritize both, they not only manage rising energy costs but also reduce their carbon footprint in measurable, reportable ways. AI may be shaping the demand curve, but how operators respond will shape the industry's long-term sustainability.

Breathe Easy: The Essential Guide to Navigating IAQ Business Regulations in Canada

  • Writer: Jennifer Crowley
    Jennifer Crowley
  • Mar 4, 2024
  • 3 min read

Updated: Jul 8, 2024

Building Facilities Manager Reviewing Site Compliance Checklist
Regular monitoring of IAQ parameters ensures ongoing adherence to standards.

Welcome, Canadian business leaders! Let's delve into a crucial yet often overlooked aspect of workplace health: indoor air quality (IAQ). The quality of the air we breathe during our workday significantly influences our well-being and productivity. In fact, A Canadian study revealed that nearly one-third of employee sick days are due to symptoms worsened by poor indoor air quality (IAQ). Similarly, a Massachusetts study saw a 35% reduction in sick leave in offices with good IAQ, saving businesses approximately $400 per employee annually. Imagine the impact of saving $400 per employee on your yearly budget.

 

Fortunately, Canada has robust IAQ regulations to ensure that our indoor environments promote health and safety. However, understanding, achieving, and maintaining compliance with these regulations can be intricate. Fear not! In this comprehensive guide, we will provide you with detailed insights and practical guidance on navigating IAQ regulations and standards in Canada, empowering you to keep your business compliant while prioritizing the health and comfort of your team.


Understanding IAQ Regulations and Standards:

To begin, let's grasp the fundamentals:

Image of textbooks with the title Rules & regulations

1.  Health Canada sets forth comprehensive guidelines for IAQ, encompassing parameters such as temperature, humidity, ventilation, and air contaminants. These guidelines serve as the cornerstone for maintaining optimal IAQ in your workplace. If you are not familiar with them, please click the link above to learn more.

2.  Many Canadian provinces also impose their own specific IAQ regulations, necessitating familiarity with local requirements. The chart below provides support in locating your Provincial regulations:

Chart outlining Provincial IAQ legislation guidance
Provincial IAQ Requirement Overview

3. Building codes also dictate ventilation systems, air filtration standards, moisture control measures, radon mitigation and the types of construction materials used to uphold IAQ standards in commercial spaces.

 

Achieving Compliance:

Now, let's strategize.

1.  Initiating an IAQ assessment is paramount.

This assessment involves a thorough examination of your indoor air quality to identify potential issues and inform your mitigation plan. Depending on the size, age, and structure of the building, your IAQ audit may include air sample collection, a mould and moisture assessment, HVAC System evaluation and even an occupant survey. Consider engaging professional IAQ consultants for comprehensive and accurate results.

2. Ensure that your ventilation system operates efficiently.

Adequate airflow is crucial for circulating clean air throughout your workspace. Building codes typically specify minimum ventilation rates for various types of spaces within commercial buildings. These rates ensure adequate airflow to dilute indoor air pollutants and maintain acceptable IAQ levels. For example, the National Building Code of Canada (NBC) outlines ventilation requirements based on occupancy type, building size, and specific activities conducted within the space. Implementing a rigorous maintenance schedule and investing in high-quality air filters are key measures to mitigate pollutants effectively.

3. Adopting practices to minimize indoor pollutants, such as utilizing low-emission materials, prohibiting smoking, restricting the use of volatile organic compound emitting products and implementing stringent cleaning protocols, further enhances IAQ.


Furthermore, ensuring HVAC systems are regularly maintained, utilizing high efficiency air filters, and leveraging demand-controlled ventilation systems that adjust airflow based on occupancy levels and indoor air quality parameters all help to keep pollutants at compliant levels.

 

Maintaining Compliance:

Once your IAQ protocols are in place, maintaining compliance becomes imperative:

1.  Regular monitoring of IAQ parameters ensures ongoing adherence to standards. Establish a systematic schedule for assessing air quality and promptly address any deviations from prescribed norms.

2.  Equally vital is the implementation of a robust maintenance regimen. Regular servicing of HVAC systems and diligent upkeep of building infrastructure are essential to preserve optimal IAQ conditions.

3.  Additionally, staying abreast of changes in IAQ regulations is crucial. Continuously monitor industry updates and engage with regulatory agencies to remain informed about evolving compliance requirements.

 

Navigating IAQ regulations may initially appear daunting, but armed with the right knowledge and approach, you can ensure a healthy indoor environment for your business. By comprehending the regulations, implementing effective strategies, and prioritizing maintenance, you not only meet legal requirements but also cultivate a workplace that promotes well-being and productivity. Remember, investing in IAQ compliance is an investment in the health and success of your business. Keep breathing easy, knowing that you're making a positive impact on your team and your bottom line.


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