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Why the new “reasoning” models might gobble up more electricity — at least in the short term

What happens when artificial intelligence takes some time to think?
The newest set of models from OpenAI, o1-mini and o1-preview, exhibit more “reasoning” than existing large language models and associated interfaces, which spit out answers to prompts almost instantaneously.
Instead, the new model will sometimes “think” for as long as a minute or two. “Through training, they learn to refine their thinking process, try different strategies, and recognize their mistakes,” OpenAI announced in a blog post last week. The company said these models perform better than their existing ones on some tasks, especially related to math and science. “This is a significant advancement and represents a new level of AI capability,” the company said.
But is it also a significant advancement in energy usage?
In the short run at least, almost certainly, as spending more time “thinking” and generating more text will require more computing power. As Erik Johannes Husom, a researcher at SINTEF Digital, a Norwegian research organization, told me, “It looks like we’re going to get another acceleration of generative AI’s carbon footprint.”
Discussion of energy use and large language models has been dominated by the gargantuan requirements for “training,” essentially running a massive set of equations through a corpus of text from the internet. This requires hardware on the scale of tens of thousands of graphical processing units and an estimated 50 gigawatt-hours of electricity to run.
Training GPT-4 cost “more than” $100 million OpenAI chief executive Sam Altman has said; the next generation models will likely cost around $1 billion, according to Anthropic chief executive Dario Amodei, a figure that might balloon to $100 billion for further generation models, according to Oracle founder Larry Ellison.
While a huge portion of these costs are hardware, the energy consumption is considerable as well. (Meta reported that when training its Llama 3 models, power would sometimes fluctuate by “tens of megawatts,” enough to power thousands of homes). It’s no wonder that OpenAI’s chief executive Sam Altman has put hundreds of millions of dollars into a fusion company.
But the models are not simply trained, they're used out in the world, generating outputs (think of what ChatGPT spits back at you). This process tends to be comparable to other common activities like streaming Netflix or using a lightbulb. This can be done with different hardware and the process is more distributed and less energy intensive.
As large language models are being developed, most computational power — and therefore most electricity — is used on training, Charlie Snell, a PhD student at University of California at Berkeley who studies artificial intelligence, told me. “For a long time training was the dominant term in computing because people weren’t using models much.” But as these models become more popular, that balance could shift.
“There will be a tipping point depending on the user load, when the total energy consumed by the inference requests is larger than the training,” said Jovan Stojkovic, a graduate student at the University of Illinois who has written about optimizing inference in large language models.
And these new reasoning models could bring that tipping point forward because of how computationally intensive they are.
“The more output a model produces, the more computations it has performed. So, long chain-of-thoughts leads to more energy consumption,” Husom of SINTEF Digital told me.
OpenAI staffers have been downright enthusiastic about the possibilities of having more time to think, seeing it as another breakthrough in artificial intelligence that could lead to subsequent breakthroughs on a range of scientific and mathematical problems. “o1 thinks for seconds, but we aim for future versions to think for hours, days, even weeks. Inference costs will be higher, but what cost would you pay for a new cancer drug? For breakthrough batteries? For a proof of the Riemann Hypothesis? AI can be more than chatbots,” OpenAI researcher Noam Brown tweeted.
But those “hours, days, even weeks” will mean more computation and “there is no doubt that the increased performance requires a lot of computation,” Husom said, along with more carbon emissions.
But Snell told me that might not be the end of the story. It’s possible that over the long term, the overall computing demands for constructing and operating large language models will remain fixed or possibly even decline.
While “the default is that as capabilities increase, demand will increase and there will be more inference,” Snell told me, “maybe we can squeeze reasoning capability into a small model ... Maybe we spend more on inference but it’s a much smaller model.”
OpenAI hints at this possibility, describing their o1-mini as “a smaller model optimized for STEM reasoning,” in contrast to other, larger models that “are pre-trained on vast datasets” and “have broad world knowledge,” which can make them “expensive and slow for real-world applications.” OpenAI is suggesting that a model can know less but think more and deliver comparable or better results to larger models — which might mean more efficient and less energy hungry large language models.
In short, thinking might use less brain power than remembering, even if you think for a very long time.
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Flames have erupted in the “Blue Zone” at the United Nations Climate Conference in Brazil.
A literal fire has erupted in the middle of the United Nations conference devoted to stopping the planet from burning.
The timing couldn’t be worse. Today is the second to last day of the annual climate meeting known as COP30, taking place on the edge of the Amazon rainforest in Belém, Brazil. Delegates are in the midst of heated negotiations over a final decision text on the points of agreement this session.
A number of big questions remain up in the air, including how countries will address the fact that their national plans to cut emissions will fail to keep warming “well under 2 degrees Celsius,” the target they supported in the 2015 Paris Agreement. They are striving to reach agreement on a list of “indicators,” or metrics by which to measure progress on adaptation. Brazil has led a push for the conference to mandate the creation of a global roadmap off of fossil fuels. Some 80 countries support the idea, but it’s still highly uncertain whether or how it will make its way into the final text.
Just after 2:00 p.m. Belém time, 12 p.m. Eastern, I was in the middle of arranging an interview with a source at the conference when I got the following message:
“We've been evacuated due to a fire- not exactly sure how the day is going to continue.”
The fire is in the conference’s “Blue Zone,” an area restricted to delegates, world leaders, accredited media, and officially designated “observers” of the negotiations. This is where all of the official negotiations, side events, and meetings take place, as opposed to the “Green Zone,” which is open to the public, and houses pavilions and events for non-governmental organizations, business groups, and civil society groups.
It is not yet clear what the cause of the fire was or how it will affect the home sprint of the conference.
Outside of the venue, a light rain was falling.
On Turkey’s COP31 win, data center dangers, and Michigan’s anti-nuclear hail mary
Current conditions: A powerful storm system is bringing heavy rain and flash flooding from Texas to Missouri for the next few days • An Arctic chill is sweeping over Western Europe, bringing heavy snow to Denmark, southern Sweden, and northern Germany • A cold snap in East Asia has plunged Seoul and Beijing into freezing temperatures.

The Trump administration on Wednesday proposed significant new limits on federal protection under the Endangered Species Act. A series of four tweaked rules would reset how the bedrock environmental law to prevent animal and plant extinctions could be used to block oil drilling, logging, and mining in habitats for endangered wildlife, The New York Times reported. Among the most contentious is a proposal to allow the government to consider economic factors before determining whether to list a species as endangered. Another change would raise the bar for enacting protections based on predicted future threats such as climate change. “This administration is restoring the Endangered Species Act to its original intent, protecting species through clear, consistent and lawful standards that also respect the livelihoods of Americans who depend on our land and resources,” Secretary of the Interior Doug Burgum said in a statement.
In Congress, meanwhile, bipartisan reforms to make federal permitting easier are advancing. Representative Scott Peters, the Democrat in charge of the permitting negotiations, called the SPEED Act introduced by Representative Bruce Westerman, the Republican chairman of the Natural Resources Committee, a “huge step forward,” according to a post on X from Politico reporter Josh Siegel. But Peters hinted that getting the legislation to the finish line would require the executive branch to provide “permit certainty,” a thinly-veiled reference to Democrats’ demand that the Trump administration ease off its so-called “total war on wind” turbines.
In World Cup soccer, Turkey hasn’t faced Australia in more than a decade. But the two countries went head to head in the competition to host next year’s United Nations climate summit, COP31. Turkey won, Bloomberg reported last night. Australia’s defeat is a blow not just to Canberra but to those who had hoped a summit Down Under would set the stage for an “island COP.” The pre-conference leaders’ gathering is set to take place on an as-yet-unnamed Pacific island, which had raised hopes that the next confab could put fresh emphasis on the concerns of low-lying nations facing sea-level rise.
More than a dozen states where data centers are popping up could face electric power emergencies under extreme conditions this winter, a grid security watchdog warned this week, E&E News reported. The North American Electric Reliability Corporation listed New England, the Carolinas, most of Texas, and the Pacific Northwest among the most threatened regions. If those emergencies take place, the grid operators would need to import more electricity from other regions and seek voluntary power cutbacks from customers before resorting to rotating blackouts.
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The United States is on the cusp of restarting a permanently shuttered atomic power plant for the first time. But anti-nuclear groups are making a last-ditch effort to block the revival. In a complaint filed Monday in the U.S. District court for the Western District of Michigan, a trio of activist organizations — Beyond Nuclear, Don’t Waste Michigan, and Michigan Safe Energy Future — argued that the plant should never have received regulatory approval for a restart. As I wrote in this newsletter at the time, the Nuclear Regulatory Commission granted plant owner Holtec International permission to go ahead with the restoration in July. Last month, the company — best known for manufacturing waste storage vessels and decommissioning defunct plants — received a shipment of fuel for the single-reactor station, as I reported here. While the opponents are asking the federal judge to intervene, state lawmakers in Michigan are considering new subsidies for nuclear power, Bridge Michigan reported.
Further north along Michigan’s western coastline, a coal-fired power plant set to close down in May got another extension from the Trump administration. In an order signed Tuesday, Secretary of Energy Chris Wright renewed his direction to utility Consumers Energy to hold off on shutting down the facility, which the administration deemed necessary to stave off blackouts. The latest order, Michigan Advance noted, extends until February 17, 2026. President Donald Trump’s efforts to prop up the coal industry haven’t gone so well elsewhere. As Heatmap’s Matthew Zeitlin reported last week, coal-fired stations keep breaking down, with equipment breaking at more than twice the rate of wind turbines.
Matthew had another timely story out yesterday: Members of the PJM Interconnection’s voting base of advisers met Wednesday to consider a dozen different proposals for how to bring more data centers online put forward by data center companies, transmission developers, utilities, state lawmakers, advocates, PJM’s market monitor, and PJM itself. None passed. “There was no winner here,” PJM chief executive Manu Asthana told the meeting following the announcement of the vote tallies. There was, however, “a lot of information in these votes,” he added. “We’re going to study them closely.” The grid operator still aims to get something to federal regulators by the end of the year.
Here’s a gruesome protocol that apparently exists when a toothed whale washes up. Federal officials arrived on Nantucket on Wednesday afternoon to remove a beached sperm whale’s jaw. Per the Nantucket Current: “This is being done to prevent any theft of its teeth, which are illegal to take and possess. The Environmental Police will take the jaw off-island.”
Members of the nation’s largest grid couldn’t agree on a recommendation for how to deal with the surge of incoming demand.
The members of PJM Interconnection, the country’s largest electricity market, held an advisory vote Wednesday to help decide how the grid operator should handle the tidal wave of incoming demand from data centers. Twelve proposals were put forward by data center companies, transmission companies, power companies, utilities, state legislators, advocates, PJM’s market monitor, and PJM itself.
None of them passed.
“There was no winner here,” PJM chief executive Manu Asthana told the meeting following the announcement of the vote tallies. There was, however, “a lot of information in these votes,” he added. “We’re going to study them closely.”
The PJM board was always going to make the final decision on what it would submit to federal regulators, and will try to get something to the Federal Energy Regulatory Commission by the end of the year, Asthana said — just before he plans to step down as CEO.
“PJM opened this conversation about the integration of large loads and greatly appreciates our stakeholders for their contributions to this effort. The stakeholder process produced many thoughtful proposals, some of which were introduced late in the process and require additional development,” a PJM spokesperson said in a statement. “This vote is advisory to PJM’s independent Board. The Board can and does expect to act on large load additions to the system and will make its decision known in the next few weeks.”
The surge in data center development — actual and planned — has thrown the 13-state PJM Interconnection into a crisis, with utility bills rising across the network due to the billions of dollars in payments required to cover the additional costs.
Those rising bills have led to cries of frustration from across the PJM member states — and from inside the house.
“The current supply of capacity in PJM is not adequate to meet the demand from large data center loads and will not be adequate in the foreseeable future,” PJM’s independent market monitor wrote in a memo earlier this month. “Customers are already bearing billions of dollars in higher costs as a direct result of existing and forecast data center load,” it said in a quarterly report released just a few days letter, pegging the added charges to ensure that generators will be available in times of grid stress due to data center development at over $16 billion.
PJM’s initial proposal to deal with the data center swell would have created a category for new large sources of demand on the system to interconnect without the backing of capacity; in return, they’d agree to have their power supply curtailed when demand got too high. The proposal provoked outrage from just about everyone involved in PJM, including data center developers and analysts who were open to flexibility in general, who said that the grid operator was overstepping its responsibilities.
PJM’s subsequent proposal would allow for voluntary participation in a curtailment program, but was lambasted by environmental groups like Evergreen Collaborative for not having “any semblance of ambition.” PJM’s own market monitor said that voluntary schemes to curtail power “are not equivalent to new generation,” and that instead data centers should “be required to bring their own new generation” — essentially to match their own demand with new supply.
A coalition of environmental groups, including the Natural Resources Defence Council and state legislators in PJM, said in their proposal that data centers should be required to bring their own capacity — crucially counting demand response (being paid to curtail power) as a source of capacity.
“The growth of data centers is colliding with the reality of the power grid,” Tom Rutigliano, who works on grid issues for the Natural Resources Defense Council, said in a statement. “PJM members weren’t able to see past their commercial interests and solve a critical reliability threat. Now the board will need to stand up and make some hard decisions.”
Those decisions will come without any consensus from members about what to do next.
“Just because none of these passed doesn’t mean that the board will not act,” David Mills, the chairman of PJM’s board of managers, said at the conclusion of the meeting. “We will make our best efforts to put something together that will address the issues.”