COLLEGE STATION, TX (November 2025) – A new issue of the Mosbacher White Paper series examines the causes of the emerging electricity crisis in the United States amid rapid growing demand given the expansion of Artificial Intelligence (AI). Energy and supply chain experts Mohamed Abdelhady, Eleftherios Iakovou, and Efstratios N. Pistikopoulos of the Texas A&M Energy Institute and Economist Raymond Robertson of the Mosbacher Institute, discuss the availability of electricity supply and capacity to satisfy demand. The authors report that electricity demand in the country is rising at the fastest rate since World War II due to the growth of AI data centers, electrified transport, semiconductor reshoring and heating electrification. They emphasize that without immediate reforms, demand will outpace supply and transmission capacity, threatening national competitiveness, resilience, and energy security. To meet this challenge, they recommend a national coordinated approach among federal and state governments, utilities and large electricity users to collaborate in policymaking, cost sharing, and innovation. They conclude that electricity has become the new strategic commodity that will define American economic competitiveness.

Mosbacher Institute White Papers are publications of the Mosbacher Institute for Trade, Economics, and Public Policy at the Bush School at Texas A&M University.