Princeton Seminar Warns: Data Centers and Crypto Mining Could Spike U.S. Electricity Costs and Emissions by 2030
PRINCETON, N.J. — A forthcoming seminar at Princeton University’s Andlinger Center for Energy and the Environment is set to examine the escalating impact of data centers and cryptocurrency mining on the U.S. power grid, projecting significant increases in electricity costs and carbon dioxide emissions by 2030.
The event, titled “Andlinger Highlights Seminar: Projected Impacts of Data Centers and Cryptocurrency Mining on U.S. Electricity Costs and Emissions,” will feature advanced modeling that reveals how surging electricity demand from these sectors could reshape the nation’s energy landscape. Researchers predict that this growth could elevate U.S. power sector CO₂ emissions compared to a no-growth baseline, with the most pronounced effects in high-demand regions like Northern Virginia and Texas.[1]
Modeling the Grid’s Future Strain
The seminar draws on a sophisticated energy system optimization model that simulates power sector capacity expansion, plant retirements, and dispatch decisions across 26 interconnected U.S. power regions. This approach accounts for policy constraints, spatial variations in renewable resources, and transmission infrastructure limitations.[1]
Early findings indicate that rapid demand growth from data centers—fueled by artificial intelligence and cloud computing—and energy-intensive cryptocurrency mining operations is already straining the grid. Over the next five years, these pressures are expected to intensify, potentially driving up energy costs measured by demand-weighted marginal locational prices in affected areas.[1]
However, the model also uncovers potential silver linings. Complementarities between winter-peaking heat pump loads and summer-peaking data center cooling demands could optimize infrastructure use, possibly mitigating price hikes or even reversing them in some regions.[1]
“Results suggest that growth in data center and cryptocurrency demand could increase U.S. power sector CO₂ emissions in 2030 relative to a no-growth baseline.”
— Andlinger Center Seminar Abstract[1]
Regional Hotspots and Broader Implications
The largest demand surges are anticipated in Northern Virginia, a global data center hub, and Texas, where both data processing and crypto mining have boomed. These areas may face the steepest rises in emissions and costs, challenging ongoing efforts to decarbonize the grid.[1]
This seminar aligns with Princeton’s broader research legacy on energy and climate challenges. The university’s Net-Zero America project, for instance, outlines pathways to net-zero emissions by 2050, emphasizing the need for massive infrastructure overhauls including expanded transmission lines and renewable deployment.[7]
Recent Princeton-led studies further underscore the stakes. One analysis updated the social cost of carbon to $185 per ton—over three times the prior U.S. federal estimate of $51—highlighting how underestimating emissions costs distorts policy decisions.[5]
Industry Efforts Toward Sustainability
Amid these warnings, the data center industry is responding. Princeton Digital Group (PDG), a leading operator, released its 2024-2025 Sustainability Report in July 2025, boasting 100% offset of Scope 1 emissions from 2022-2024 and 62% coverage of Scope 2 emissions via renewable energy procurement. The firm secured $728 million in green loans and implemented long-term power purchase agreements for solar and biomass energy across Asia-Pacific sites.[2]
PDG’s Market-Based Carbon Usage Effectiveness (CUE) of 0.30 demonstrates progress, with all greenfield data centers ISO 45001 certified for safety and sustainability. The report, assured by third-party auditors and aligned with Global Reporting Initiative standards, signals a push for net-zero operations.[2]
Princeton’s Climate Leadership
Princeton University itself is a leader in emissions reduction. Its Climate Action Plan targets 50% community-wide GHG cuts by 2030, 65% by 2040, and 80% by 2050, focusing on building efficiency, clean grids, and electrification. Observed emissions have fluctuated but trended toward targets, with buildings and transportation as primary sources.[3]
Related research from Princeton’s Center for Policy Research on Energy and the Environment (CPREE) highlights health co-benefits of clean energy transitions. Scaling wind, solar, heat pumps, and EVs could slash PM2.5 precursors like NOx and SO₂, yielding widespread public health gains.[6][8]
Expert Speaker and Event Details
The seminar features Stephen J. Hershkowitz, former Administrator of the U.S. Energy Information Administration (EIA), where he advanced data transparency and long-term modeling. Previously a professor at NC State University, Hershkowitz brings deep expertise to the discussion.[1]
Co-sponsored by CPREE, the event runs from 12:30 p.m. to 1:30 p.m., with lunch at noon. It is part of the Andlinger Center’s Highlight Seminar Series, promoting critical dialogue on energy transitions.[1]
As data centers power the AI revolution and crypto persists, this Princeton forum arrives at a pivotal moment. Policymakers, industry leaders, and researchers must weigh these projections against decarbonization goals, balancing innovation with environmental imperatives.