A brand new Greenpeace report reveals that international electrical energy consumption for manufacturing AI chips elevated by greater than 350%, from 218 gigawatt hours (GWh) in 2023 to almost 984 GWh in 2024.
Greenpeace East Asia’s report titled ‘Chipping Level’ states that by 2030, international electrical energy consumption for AI chipmaking might improve by as a lot as 170 occasions the 2023 ranges. That is equal to Eire’s present electrical energy consumption.
East Asia’s electrical energy grids primarily depend upon fossil fuels, reminiscent of coal, oil, and pure gasoline. This poses a problem for AI chipmakers, obstructing the development of renewable vitality.
In South Korea, 58.5% of electrical energy technology comes from fossil fuels, whereas Japan relies on them for 68.6% of its electrical energy. Taiwan’s reliance on fossil fuels is even increased, with 83.1% of its electrical energy provide derived from these sources.
Katrin Wu, Greenpeace East Asia Provide Chain Mission Lead, mentioned, “Whereas fabless {hardware} firms like Nvidia and AMD are reaping billions from the AI increase, they’re neglecting the local weather impression of their provide chains in East Asia.”
Function of policymakers
The South Korean authorities accepted the development of a 1.05 GW liquid pure gasoline (LNG) mixed warmth and energy plant for chip provider SK Hynix in 2024. The federal government additionally plans to construct a 3 GW LNG capability for Samsung within the Nationwide Semiconductor Cluster. The Yogin space, densely populated with semiconductor fabs, would require an estimated 10 GW of electrical energy, accounting for 25% of the overall energy demand within the space. These initiatives are additionally inserting a big pressure on the nation’s nationwide grid.
The Taiwan Energy Firm (Taipower) has additionally seen elevated energy demand from its semiconductor and AI sectors, additional justifying the enlargement of LNG initiatives and grid infrastructure.
Greenpeace East Asia local weather and vitality campaigner Rachel Yu instructed AIM that policymakers within the area should assist the enlargement of renewable vitality infrastructure and “promote renewable vitality electrical energy buying and investments by AI firms and their suppliers.” This is not going to be doable if governments proceed to broaden their gasoline capacities. She added that the “new gasoline capability will solely perpetuate the cycle of fossil gas dependence and local weather emergency.”
“Chip producers like TSMC and Samsung are a few of the most influential firms in East Asia. They should each advocate for governments to extend renewable vitality capability, significantly from wind and photo voltaic, and to speculate immediately in renewable vitality themselves,” Yu mentioned.
Moreover, Yu additional added that there’s a “lot of untapped potential for TSMC and different chipmakers to put money into extra various renewable vitality sources, together with photo voltaic and geothermal.” Additionally, “the acquisition of Renewable Vitality Certificates (RECs) usually doesn’t result in new renewable vitality initiatives as a result of consumers can declare environmental advantages with out bodily consuming inexperienced electrical energy.”
Yu additionally highlighted Apple’s announcement in March 2025 of its second Clear Vitality Fund in mainland China, price greater than $99 million. “The fund is predicted so as to add roughly 550,000 megawatt-hours of wind and photo voltaic capability every year.” The corporate has additionally set a goal to realize 100% renewable vitality throughout its provide chain by 2030.
Nevertheless, the report has inspired tech firms like Nvidia, Meta, and Google to accentuate their efforts to cut back provide chain emissions by attaining 100% renewable vitality by 2030, to fulfill consumer necessities.
Growing Carbon emissions
World emissions from electrical energy consumption in AI chip manufacturing elevated by an estimated 357% in 2024, from 99,200 metric tons of CO₂ equal in 2023 to 453,600 metric tons of CO₂ equal in 2024. This can be a staggering 4-fold improve in 2024.
South Korea’s emissions from AI chipmaking have greater than doubled year-on-year, from 58,000 metric tons in 2023 to 135,900 metric tons in 2024. Equally, Japan reached 132,100 metric tons in CO₂ emissions final 12 months.
“Nvidia and its friends have various pathways to decarbonise their provide chains, together with funding in native renewable vitality assets, reminiscent of wind and photo voltaic, signing of Energy Buy Agreements (PPAs), and the development of their renewable vitality capability. There needs to be no excuse for quickly rising emissions from the AI provide chain.”
Greenpeace says that there have to be elevated scrutiny of the AI and chip manufacturing sector to cut back its carbon footprint. The report famous that the AI chip sector lags considerably behind the key tech manufacturers’ commitments to undertake renewable vitality lately.
“Sadly, AI firms aren’t taking sufficient steps to make sure that their provide chains are powered by renewable vitality. It’s one factor for Nvidia to focus on 100% renewable vitality throughout its operations. Nonetheless, by neglecting to curtail emissions from its provide chain, Nvidia is lacking the larger image,” Yu added.
In line with Greenpeace, this may be achieved by sourcing renewable vitality domestically by way of sensible methods, reminiscent of constructing and investing in renewable vitality technology amenities and exploring long-term energy buy agreements.
Yu said that folks “could consider AI as a futuristic expertise, however sadly, AI chipmaking continues to be powered largely by outdated gas sources.”
The submit AI Chip Increase Sparks 350% Surge in World Electrical energy Use, Greenpeace Report appeared first on Analytics India Journal.
