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
Small, locally focused wineries are finding resilience through direct sales and regional loyalty rather than scale alone.
Pork producers warn that proposed definitions of “ultra-processed” food in guidelines from the “Make America Healthy Again” plan could negatively impact industry-standard bacon, sausage, and feed practices.
Concerns over Chronic Wasting Disease are fueling a long-standing legal battle between Minnesota regulators and deer farmers. The case could soon reach the state’s Supreme Court with broader implications for agriculture.
The National Cattlemen’s Beef Association (NCBA) and Public Lands Council (PLC) are praising the passage of a bill to delist gray wolves as an endangered species by the U.S. House last week.
USDA Undersecretary Luke Lindberg told RFD-TV News that we can only guess what Congress will do down the road. Still, the USDA recognizes its responsibility to spend resources efficiently and effectively.
Tight feeder supplies and lower placements indicate continued support for the cattle market, with regional impacts heightened in Texas by reduced feeder imports.

LATEST STORIES BY THIS AUTHOR:

The newly elected Executive Vice President of the Tennessee Cattlemen’s Association (TCA), Dale Parker, joins us on-set to share his vision for his state’s cattle industry.
A leading Oklahoma veterinarian explains common symptoms of Equine Herpes Virus (EHV) and warns owners to remain vigilant because it can spread quickly among horses.
National FFA President Trey Myers joins Monday’s FFA Today to share his hopes and goals for the 2025-2026 year as he steps into this opportunity to lead and serve the next generation of agriculture.
Watch the special this Saturday at 6:00 PM Eastern on RFD-TV
Despite the need for swift action, many ag lawmakers and industry groups argue that farm aid alone will likely not be sufficient to help farmers without improved trade relations with China.
Tyson’s capacity cuts weaken local basis, tighten kill space, and heighten dependence on imports, signaling more volatility for producers.