Javier Sierra
Posted November 27, 2025
They say great ideas happen in the shower. This one took place in the middle of a deluge of bad news.
The US Energy Information Administration reported that the rise of energy prices will grow for all of us faster than the rate of inflation in 2026.
Electricity prices have surged so much, the nation’s voters are blaming their representatives and are waiting for the 2026 elections to settle their grievances, The Washington Post reports.
“Average bills have jumped over 10 percent since last year in more than two dozen states—with some seeing increases beyond 20 percent. Voters are demanding solutions, bringing to the front issues that long simmered in the political background,” the Posts adds.
The New York Times reports that the true origin of the problem is the gargantuan electricity demands of mega data centers that generate AI for companies such as Amazon, Apple, Google, Microsoft and others—also known as hyperscalers—not only in the US but around the world.
“From Mexico to Ireland, fury mounts over a global AI frenzy,” the Times states. “As tech companies build data centers worldwide to advance AI, vulnerable communities have been hit by blackouts and water shortages.”
This crisis particularly impacts the Latino community at home. A study by Indiana University revealed that two out of five Latinos have been unable to pay an electric bill and 18 percent of Latino consumers have seen their electricity cut off at least once. In short, the energy burden of Latino households is 20 percent higher than that of their white counterparts. In fact, the US Energy Information Administration reported that the rise of energy prices will grow for all of us faster than the rate of inflation in 2026.
A solution? A new analysis from Rewiring America finds that U.S. households could provide enough capacity to meet 100 percent of the projected electricity demand growth from data centers, while cutting bills for families and strengthening the grid.
The report, titled Homegrown Energy: How household upgrades can meet 100 percent of data center demand growth, shows how rapid investment in heat pumps, rooftop solar, and home batteries could transform homes from passive energy consumers into active clean energy assets.
“Electrifying households is a direct path to meeting our growing power needs,” said Ari Matusiak, CEO of Rewiring America. “The household doesn’t have to be a passive energy consumer, at the whim of rising costs. Instead, it can be the hero and, with smart investment, the foundation of a more reliable and affordable energy future.”
The report shows that hyperscalers can unlock the capacity they need—and build a better energy future—by decreasing residential peak demand through direct investment in household upgrades, as follows:
- Heat pumps: By paying for heat pumps in select homes that currently rely on inefficient electric heating, cooling, and water heating, hyperscalers could meet one-third of their projected additional capacity needs
- Rooftop solar plus storage: Equipping households with suitable rooftops with solar and storage could generate more than enough clean electricity to meet all projected additional data center capacity needs
- System transformation: Immediate investments in these solutions would accelerate the technological and economic pathways for an all-electric economy — more efficient, resilient, and affordable for households, while positioning the U.S. as a global leader in 21st-century industries.
For hyperscalers, the alternative is building very expensive, polluting power plants that take years to come online.
Sometimes, a deluge of problems can inspire the most brilliant, unexpected solutions.
Javier Sierra is a Rewiring America spokesperson.
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