AI is causing a supply-demand imbalance in the energy sector

Rural America’s broadband use is surging as more precision ag tools come online, but that digital growth has a price. Data centers are moving into small towns and energy supplies are feeling the strain.

“If you look at some of the studies that have been done and the estimates around energy consumption, we are headed for a supply-demand imbalance in the energy complex because of AI in the not-too-distant future,” said Jeff Johnston, lead economist for digital infrastructure, CoBank.

Johnston says while there might be a lot of challenges ahead, he calls the whole process a big opportunity for rural America.

Related Stories
The aggressive disease can lead to significant yield losses without timely treatment.
Agriculture Secretary Brooke Rollins says USDA has been preparing for a New World screwworm outbreak for more than a year as officials expand sterile fly production and containment efforts in Texas.
The Small Processors Action Plan will strengthen a strong, safe, and local American food supply
Data centers will continue expanding, but local decisions will determine whether that growth protects agricultural water access or adds stress to already vulnerable production regions.
Ethanol, sorghum, dairy, and cotton provide additional export support as major commodity trade markets remain uneven.
Animal Health Officials Working Quickly to Protect U.S. Livestock and Wildlife

LATEST STORIES BY THIS AUTHOR:

Markets have been slow to respond as crop stress worsens across major winter wheat regions, where quality ratings have fallen to multi-decade lows.
Mike Stranz joins us to discuss farm safety net reforms, NFU’s proposed IMSET program, and the challenges facing family farmers nationwide.
The investigation does not prove wrongdoing, but it raises federal scrutiny of a major cost center for crop producers.