
The utilities sector is heading into 2026 with a clear shift in demand that's influencing what investors pay attention to. Data center electricity use in the United States is expected to more than quadruple between 2023 and 2030, which would mean more than 450 additional terawatt-hours of power.
AI data centers currently make up 4.4% of total U.S. electricity consumption, but that share is projected to rise to between 12% and 20% by 2030. With that kind of demand coming online, utilities stocks could benefit as the industry invests more in power generation and grid upgrades, and as utilities gain more room to adjust pricing, which can matter for income-focused investors starting the new year.