The announcement of a US$90 billion private-sector investment in Pennsylvania’s AI and energy sectors, unveiled today by former President Donald Trump, has sent ripples through the tech industry—and shockwaves through environmental circles. While hailed as a transformative step toward positioning the U.S. as a global leader in artificial intelligence, the plan is reigniting urgent debates about the massive energy demands of AI development and the environmental costs of data centre proliferation.
The investment, focused on building out AI infrastructure in western Pennsylvania, includes commitments from major tech and energy firms like Google, CoreWeave, and Blackstone. The lion’s share of this funding is earmarked for state-of-the-art data centres, AI compute clusters, and supporting energy infrastructure. Google is investing $25 billion in new facilities, while CoreWeave has pledged $6 billion, and Blackstone is contributing $25 billion in projects that bridge energy and AI infrastructure.
These AI-focused data centres will form the backbone of next-generation services—from large language models and autonomous systems to national security applications. But with these advances comes a staggering appetite for power.
In 2023, U.S. data centres consumed an estimated 167 terawatt-hours (TWh) of electricity—more than the entire nation of Sweden. With AI usage skyrocketing, that figure is expected to double by 2030. Unlike traditional tech infrastructure, generative AI requires persistent, high-intensity compute workloads, demanding both high-density hardware and uninterrupted power supply.
To meet these demands, Trump has called for a full-scale energy surge—including natural gas, coal, nuclear, and hydropower—with proposals to build new power stations directly beside AI campuses. Supporters frame this as a national security imperative, a way to secure energy independence in the face of escalating competition from China.
“Artificial intelligence is the new arms race,” said Trump during the summit. “We need to power it with American strength, not foreign reliance.”
But critics say this approach comes with deep environmental risks.
Environmental advocates and policy experts warn that a fossil-fuel-heavy strategy to power AI development could drastically increase greenhouse gas emissions and set back clean energy progress. By doubling down on gas pipelines, coal generation, and fast-tracked permitting, the initiative could sideline renewable solutions and ignore local environmental protections.
Climate policy groups point out that Pennsylvania, already a leading energy producer, has been trying to pivot toward a greener grid. The fear is that this influx of investment, if not tightly regulated, could lock the state into decades of carbon-heavy infrastructure—just as global warming reaches critical thresholds.
“There’s no AI without energy—but it doesn’t have to come at the cost of the planet,” said Dr. Lena Caldwell, director of the Clean Tech Policy Institute. “We risk solving one crisis by deepening another.”
At Carnegie Mellon University, where the announcement took place, students and faculty voiced similar concerns. Protesters highlighted the lack of public consultation, transparency in the deals, and any clear environmental safeguards. Their message was clear: progress in AI must be matched by responsibility in how it’s powered.
As Pennsylvania gears up to become a new frontier in the AI revolution, the balance between technological advancement and climate stewardship may become one of the most defining challenges of the decade. Whether the state emerges as a beacon of smart, sustainable growth—or a cautionary tale of unchecked ambition—will depend not just on how fast it builds, but on how wisely.
