European Commission Energy Commissioner Dan Jorgensen told Politico that the rapid expansion of artificial intelligence (AI) could substantially increase electricity demand from data centers. He said technology companies seeking to profit from the AI boom must demonstrate that their operations support the European Union’s energy and climate objectives, otherwise they should not expect a warm reception in Europe.
How big could the increase be and why it matters
Jorgensen warned that energy consumption by European data centers could easily double over the next decade. That potential rise is a significant concern in the middle of Europe’s already intense green transition: sharply higher data center demand would put pressure on power grids and could lead to higher household electricity bills.
He pointed to Ireland as a warning example, where data centers already account for more than 20 percent of national electricity use — the highest per‑capita share worldwide — and a recent report indicates the sector’s large energy needs have measurably increased residential bills.
Sustainability measures under discussion
The European Commission plans to unveil a so‑called technological sovereignty package intended to reduce Europe’s dependence on foreign providers in cloud computing, artificial intelligence and semiconductors. Alongside that, the Commission is working on a sustainability rating system for data centers that would evaluate facilities based on energy efficiency, water use and waste heat recovery.
The draft rating criteria have already provoked controversy: leaked elements favored renewable energy sources over nuclear power. Jorgensen said the Commission is taking the criticisms into account and stressed that both renewables and nuclear power have important roles to play in Europe’s green transition.
Waste heat and lack of data
The Commissioner expressed particular concern that the industry makes little use of waste heat from servers. According to Jorgensen, if just half of that heat was reused, it could heat four million European homes — a situation he called wholly unacceptable in its current state.
Another issue is the paucity of reliable data on data center energy use available to the European Commission. Politico previously reported that among centers required by EU rules to report their energy use, only 36 percent had complied with the reporting obligation. “We need more transparency,” Jorgensen said.
Funding and national solutions
When asked whether AI firms should contribute to building and financing the energy infrastructure required to run their data centers, Jorgensen replied that solutions will differ by member state. He added that it is in the industry’s own interest to show it can be part of the solution rather than merely the source of the problem.
Next steps
The Commission will shortly present its technological sovereignty package, and the sustainability rating scheme for data centers remains under development as the Commission considers feedback and criticism. These decisions could shape how data centers operate in Europe and what role high‑compute AI companies will play in the continent’s energy and climate strategies.
Note: For context, the business sustainability conference Portfolio Sustainable World 2026 will take place on September 8, 2026.
