Artificial intelligence (AI) will account for 5% of total electricity consumption in Latin America and the Caribbean (LAC) by 2035, according to a technical paper prepared by the Latin American and Caribbean Energy Organization (OLACDE). The figure, equivalent to more than 120 terawatt-hours (TWh) per year, highlights the significant energy impact that the accelerated development of this technology will have in the region.
Currently, there are 455 data processing centers for AI applications in LAC. Considering an average consumption of 50 gigawatt-hours (GWh) per center per year — a figure extrapolated from the 7,000 centers existing worldwide with total consumption of 350 TWh — it is estimated that in 2023 these facilities already accounted for 1.6% of regional electricity consumption.
Global data center growth of 165% is projected between 2023 and 2030, representing an average annual rate of 15%. At this same pace of expansion, the region will experience unprecedented energy demand associated with the operation of AI servers, especially in critical areas such as algorithm training, query execution, and the complex cooling systems needed to keep operations running.
OLACDE’s Executive Secretary, Andrés Rebolledo, stated that “the digital transformation of our productive systems must go hand in hand with responsible and sustainable energy planning, since AI could compete for energy resources with priority sectors such as residential, industrial, or transportation.”
With the exponential growth of data and the expansion of generative artificial intelligence, it is important for countries in the region to strengthen their regulatory frameworks, improve the energy efficiency of their data centers, and continue to invest in renewable sources that cushion the environmental impact of technological progress.
