Up to half of proposed data centers in the United States could face delays or cancellations due to political opposition and construction challenges, according to Kimmeridge Energy Management Co.
Ben Dell, managing partner and co-founder of Kimmeridge, cited growing resistance to data centers in states such as Pennsylvania, Texas, and Ohio, where local opposition and legal challenges are increasing. The issue has become a factor in the upcoming U.S. midterm elections, reflecting broader concerns over infrastructure strain and environmental impact.
The expected surge in U.S. natural gas demand—projected at 30 billion cubic feet per day, largely driven by liquefied natural gas exports—faces additional pressure from data centers. Dell estimated these facilities could consume an extra 5 billion to 10 billion cubic feet per day, though delays may reduce AI-related demand toward the lower end of that range.
Natural gas prices have remained relatively low domestically for much of the past decade due to oversupply from fracking operations. However, the projected demand growth from LNG exports and data centers could tighten supplies, particularly if political hurdles slow project timelines.
