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US warns of blackout risk from killing coal as Trump snubs renewables

8th July 2025

By: Bloomberg

  

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Blackouts in the US could double by 2030 amid an expected increase in power demand brought on by AI, according to a Trump administration report that blames the expected energy shortfall on the closures of coal and natural gas power plants and overreliance on renewable energy.

A 100% “surge in power outages” is expected within five years if planned power plant closures remain on schedule without new units to replace them, the Energy Department, which is releasing the report on Monday, said in a statement.

“Staying on the present course would undermine US economic growth, national security, and leadership in emerging technologies,” it said.

The report backs President Donald Trump’s pro-coal and anti-renewable approach to energy generation, painting wind and solar as unreliable and part of a “radical green agenda of past administrations.” It also comes as the Energy Department has been using emergency authority to extend the life of coal and other plants, citing concerns about shortages of electricity as data centers, which power artificial intelligence models, require more supply.

“If we are going to keep the lights on, win the AI race, and keep electricity prices from skyrocketing, the United States must unleash American energy,” Energy Secretary Chris Wright said in a statement.

The report also comes on the heels of Donald Trump’s $3.4-trillion fiscal package, which marked a deep setback to the US shift to clean energy by phasing out tax credits wind turbines and solar panels. Renewables were positioned to be leading providers of energy supply in coming years, with utility-scale solar last year accounting for 61% of US capacity additions, or 30 gigawatts, according to the Energy Information Administration.

Solar was primed for further growth because it’s the cheapest domestic electric source, batteries capable of deploying excess power in the evening have become mainstream, and it’s quicker to build than natural gas-fired plants or atomic reactors.

According to the Energy Department, the rough equivalent of 100 nuclear reactors are set to retire by 2030 which could lead “to significant outages when weather conditions do not accommodate wind and solar generation.”

Edited by Bloomberg

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