Japan's power demand may grow by up to 40% by 2050
Japan's electricity demand is projected to grow by up to 40% from the 2019 level in 2050, if the wider use of generative artificial intelligence spurs the construction of more data centers, an industry organization said Wednesday.
The Organization for Cross-Regional Coordination of Transmission Operators, which coordinates electricity supply and demand across Japan, warned in a report that supply shortages may occur even if nuclear power reactors and aging thermal power plants are rebuilt.
The organization, which comprises power utilities nationwide, suggested several scenarios for electricity supply and demand in 2040 and 2050.
According to the report, power demand is estimated to rise to between 900 billion and 1.1 trillion kilowatt-hours in 2040 and between 950 billion and 1.25 trillion kilowatt-hours in 2050, higher than the 2019 demand of 880 billion kilowatt-hours.
Even if power companies make significant progress in replacing their nuclear and thermal power plants with newer models, the country's electricity supply is expected to fall short of demand by up to 23 million kilowatts in 2050.
If companies fail to promote such replacements, supply shortages could reach 89 million kilowatts, according to the report.
The organization reviews its scenarios every three to five years, hoping that regular updates will help power companies develop their power sources.
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