Economics

Aug 11, 2026 Sandeep Vaheesan

A century ago, the US power industry was dominated by sprawling, heavily indebted holding companies until their collapse forced the federal government to break them up. Now, the pattern is repeating, with mega-mergers and buyouts advancing a debt-heavy business model at the expense of households and communities.

WASHINGTON, DC—The AI boom has thrust the power sector, a critical but largely invisible industry, into the political spotlight. Around the world, governments are grappling with data centers’ enormous energy demand, with consumers and lawmakers alike asking whether it can—or should—be met without driving up electricity bills. In the United States, however, a quieter trend threatens to push power rates even higher and weaken corporate accountability: utilities are consolidating at a rapid pace and piquing the interest of Wall Street investors.