AI Expansion Driving Up Household Utility Costs, Bank of America Analysis Warns
Household utility payments have increased 3.6% year-over-year as AI development strains power grids. Analysts suggest the trend will continue as electricity demand outpaces supply capacity improvements.
AI Boom Fuels Rising Utility Bills
Consumers are facing increasing utility costs partially driven by the artificial intelligence sector’s massive electricity demands, according to a recent analysis from Bank of America Institute. The report indicates average utility payments rose 3.6% year-over-year in the third quarter of 2025, with further increases expected as power infrastructure struggles to keep pace with growing demand.