AI Builders at Yotta Favor Gas as Power Constraints Shape Data-Center Growth

Renewables developers at Yotta 2026 said they were building as fast as they could. Yet conversations at last week’s conference pointed toward gas supplying much of the next AI data-center buildout. An October 7 Latitude Media report describes an industry pursuing growth while dependable electricity, equipment shortages and permitting shape what actually gets built.

Contracts give the demand more substance

About 6,500 people attended Yotta, where discussions covered electrical-equipment shortages, complex construction contracts and the tradeoffs of operating outside the grid. Latitude Media’s account describes project cancellations and downsizing as a correction to inflated development queues, rather than evidence that the industry is retreating.

There is financial weight behind some of that demand. Among utilities tracked by Latitude Intelligence, 62% of signed load falls under approved data-center tariffs—rules governing electricity service and charges. Nineteen of 24 approved tariff classes require customers to pay for at least 80% of contracted demand, even when they do not use it.

Forecasts also remain large. Goldman Sachs raised its 2026 U.S. data-center capacity estimate by five gigawatts to 64 GW, while trimming its 2027 estimate to 90 GW. McKinsey forecasts average annual additions of 17 GW through the end of 2030, according to the account.

The power choice starts with dependable supply

For campuses planned at a gigawatt or more, the report identifies firm power—electricity available reliably when needed—as a decisive requirement. Gas promises that supply. Kinder Morgan and Williams are talking directly with large cloud operators about locating data centers along their gas networks.

Renewables face a different construction equation. Large campuses need substantial acreage for nearby solar or wind generation, plus enough battery storage to make that electricity dependable. Latitude Media says many projects are not deploying storage with the capacity and duration needed, encouraging developers to use gas to fill the gaps.

About 72 GWTotal planned generation

Latitude Intelligence identified about 72 GW of planned on-site generation across 33 data-center projects outside ERCOT. These are plans, not operating capacity.

At least 39 GWGeneration naming gas

Gas is named for at least 39 GW of that planned generation. The finding does not identify all remaining capacity as renewable.

Gas has bottlenecks, too

Choosing gas does not remove equipment constraints. Bankers at Yotta said gas-turbine manufacturers were supply-constrained beyond 2030. Meanwhile, an unnamed large renewables developer told Latitude Media that more than 100 projects were ready except for final federal permitting signatures. That is the developer’s account; the reason for those delays remains unclear.

The data-center picture contrasts with wider utility planning. Latitude Intelligence estimates utilities need about 104 GW of new supply through 2035. Their current plans cover roughly 70% of that need with solar, storage and wind, versus about 20 GW of new gas generation. Clean-power development is continuing; the conference account suggests data-center builders’ urgency is pushing them toward a different mix.