LANSING, MI (WOWO) Electricity demand in the Great Lakes basin is rising for the first time in decades, fueled by data centers, manufacturing growth, and revived fossil and nuclear plants, according to reporting by Circle of Blue.

Coal-fired plants in Michigan and Indiana, some slated for closure, are remaining online under federal orders, while the Palisades Nuclear Generating Station is preparing to restart after a four-year shutdown. New gas-fired plants, small modular reactors, and expanded transmission infrastructure are also planned to meet projected electricity growth, which is expected to increase two to three percent annually over the next decade.

Experts warn the energy boom could strain Great Lakes water resources. For example, the Palisades plant will withdraw up to 141 million gallons of water per day from Lake Michigan, and additional demand from industrial and high-tech users such as data centers could increase cumulative water use.

State and binational agencies, including the Great Lakes Commission, are reexamining water-energy management strategies to ensure ecosystem protection and sustainable water use amid rapid development. Mike Shriberg, director of the University of Michigan Water Center, says the region’s response will have “a massive impact for the Great Lakes and for our energy future.”

With investments exceeding $3 billion in new and refurbished energy infrastructure, balancing electricity supply, climate goals, and water sustainability is now a critical policy challenge for Michigan and the broader Great Lakes region.