Artificial intelligence is triggering an electricity demand surge unlike anything the U.S. grid has faced in decades. By 2028, data centers will consume two to three times more power, and by 2030 nearly half of all new U.S. electricity demand could come from AI. The AI revolution is no longer about code or GPUs—it is about gigawatts.

Yet the growth is not evenly distributed. A handful of states are sprinting ahead, positioning themselves as the energy backbone of the AI economy, while others—especially in New England and parts of the West Coast—risk being left behind. This emerging gap is what The Grid Divide defines and measures.

At the heart of the report is the Grid Readiness Score™ (GRS), a first-of-its-kind ranking of all fifty U.S. states based on their ability to power AI-driven load growth. The GRS incorporates five critical factors:

1. Load Tolerance – headroom to absorb new demand.
2. Capacity Flexibility – interconnection and transmission availability.
3. Permitting Velocity – how fast infrastructure can be approved.
4. Resource Mix – balance of reliable and clean energy.
5. Investment Visibility – scale of projects already announced or underway.

The results are striking. Georgia (87), Texas (86), and Virginia (75) lead the nation. Georgia’s rise is tied to the Vogtle nuclear expansion, a streamlined permitting regime, and a flood of new hyperscale investment. Texas benefits from ERCOT’s open market, rapid transmission planning, and over 30 gigawatts of projected AI-driven load. Virginia remains the world’s largest data hub but is beginning to strain under congestion and community pushback.

At the bottom are Hawaii (18), Rhode Island (26), and Maine (29), along with much of New England. Despite deep pools of tech talent, these states struggle with high costs, slow permitting, and limited grid capacity. California also ranks low, dragged down by permitting hurdles, escalating costs, and reliability concerns that are pushing development eastward.

The report emphasizes that this divide is not inevitable. States can climb the rankings if they act decisively. The Grid Divide outlines a five-part playbook for lagging states:

• Anticipate load growth with AI-specific forecasts that map demand at the county level.
• Reform interconnection queues with transparent timelines, standardized costs, and fast-track approvals.
• Accelerate permitting by setting statutory deadlines and pre-certifying corridors.
• Create AI-ready zones with documented access to power, fiber, and water.
• Rebalance resource mixes to ensure hour-by-hour reliability with firm clean energy, storage, and flexible capacity.

The stakes could not be higher. States that deliver reliable, affordable power quickly will capture billions in capital investment, tax revenue, and job creation—not just in data centers, but in semiconductors, advanced manufacturing, and other AI-adjacent industries. States that fail will watch opportunity flow elsewhere.

Ultimately, The Grid Divide shows that the future of AI will not be built where the coders are. It will be built where the power is. The GRS is both a scoreboard and a roadmap—revealing today’s leaders, today’s laggards, and the path forward for states willing to act.

Support the show