Rising electricity prices across America are creating a growing political problem for President Donald Trump’s administration, with bills increasing at more than double the rate of inflation. The Consumer Price Index shows electricity prices have risen 5.5 percent over the last year, making power costs a major concern for families nationwide.
Energy Secretary Chris Wright recently acknowledged the severity of the issue during a Fox Business interview. When asked about rising utility bills, Wright said he worries about electricity prices “seven days a week” and wants to “stop the rise in electricity for Americans.”
The situation has become so pressing that Wright openly admitted the political reality facing the administration. “We’re going to get blamed because we’re in office,” the Energy Secretary told Politico, even though he blamed the momentum of previous policies for the current price increases. Wright explained that while “things move slowly in the electricity grid,” the administration will face political consequences for the rising costs regardless of their origins.
AI data centers driving unprecedented demand for power
The surge in electricity demand is largely driven by artificial intelligence and data centers, which are consuming record amounts of energy. Goldman Sachs Research estimates that data center power demand will grow 160 percent by 2030, requiring massive investments in new generation capacity. In the PJM grid region alone, which spans parts of the Midwest and Mid-Atlantic, data center demand helped drive capacity auction prices up by more than 800 percent this summer.
— Mario Nawfal (@MarioNawfal) September 2, 2025
AMERICA’S ELECTRIC BILLS ARE SHOCKINGLY HIGH
Residential electricity prices have soared to nearly 18 cents per kilowatt-hour, the highest level in decades.
Since 2015, bills have climbed steadily, but inflation and higher fuel costs pushed them sharply upward after 2021.… pic.twitter.com/PBl25LnDWY
The Trump administration has embraced data center construction as part of its economic strategy, but this support creates a challenge for electricity prices. Energy Secretary Wright believes the U.S. can both “lead China in the race to lead AI” and “stop the rise in electricity prices,” though experts warn these goals may conflict with each other.
Natural gas prices are also contributing to higher electricity costs. The Energy Information Administration reports that natural gas costs to the electric power industry surged by more than 40 percent during the first half of 2025. The Trump administration’s push to increase liquefied natural gas exports is putting additional pressure on domestic prices, as Trump’s energy policies face growing scrutiny from voters.
The political implications are significant for Republicans heading into the 2026 midterm elections. Democrats are already beginning to use rising electricity costs as ammunition against the administration. Senator Ed Markey warned that Republican policies would mean “big, ugly energy bills arriving in the mail for Americans around the country.” With Trump’s administration facing mounting criticism on multiple fronts, energy costs represent another area where voters may hold the party accountable.
