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All issuesVolume 336, Issue 4IT NewsOperations

How To Handle Energy Cost Management For IT Leaders

Sustainability and ESG, Thursday, March 26th, 2026

Structural demand from AI and data centers makes efficient energy use critical. As energy costs rise, CIOs must prioritize energy cost management in IT budgets.

Energy costs are a growing component of CIOs' IT budgets.

U.S. retail electricity prices rose 7.1% year over year in December 2025, with the commercial sector seeing the highest increase at 7.8%, according to the U.S. Energy Information Administration's (EIA's) February 2026 Electricity Monthly Update. In its January 2026 Short-Term Energy Outlook, the EIA forecast the strongest four-year growth in U.S. electricity demand since 2000, attributing the increase primarily to data centers. The agency projects that growth will continue through at least 2027.

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