George Gemelas: Indiana: A bellwether for America’s energy future

To understand the battle that is America’s energy transformation, step into the Crossroads of America.

Here in the heartland, billions are flowing into data centers and microchip factories. Energy demand is spiking, and private businesses are racing to bring online nuclear, solar, hydrogen and a wave of high-tech energy innovations—from transmission and grid optimization to long-duration storage. At the same time, Indiana is contending with a cauldron of legislative activity, NIMBY resistance, and entrenched special interests, all jockeying for their narrow priorities.

Together, these forces reflect the same collision playing out across the country.

Put differently: Indiana is a bellwether for America’s energy future. Whether we rise to meet this moment—or fall short—will be a signal of whether the nation can do the same.

It’s critical we succeed. Artificial intelligence—the world-shaping technology of this era—depends on energy. Data centers run 24/7 and require enormous amounts of power (not to mention water). Even a single ChatGPT query can consume many multiples of the energy required for a typical Google search.

It would be unacceptable for energy to become the limiting factor for the United States in the AI arms race. Over the past decade, China has nearly doubled its electricity-generation capacity by aggressively investing in both renewables and fossil fuels. The United States, by contrast, has seen only modest gains, barely increasing overall capacity since the early 2000s.

Now we’re facing a demand spike—driven by AI, advanced manufacturing and electrification—with no clear ceiling in sight. That’s not even accounting for the impending rise of robots.

Energy is no longer just a monthly bill. It’s now central to geopolitics, economic competitiveness and the future of human flourishing. Few places offer a clearer picture of how these dynamics are converging than Indiana.

Start with the grid. Of all the electricity systems in the country, the one Indiana belongs to—Midcontinent Independent System Operator—tops the risk list for potential shortfalls, reconfirmed recently in a new report from the North American Electric Reliability Corp., with August flagged as the critical month. We don’t have watts to spare, a dynamic that will only grow more acute here and across the country as we plug more things into the grid.

Then there’s the policy front. Like counterparts in other states, Indiana lawmakers have had to become sudden experts in energy systems, transmission and regulation. This year, Hoosier lawmakers managed to advance frameworks for small-modular nuclear reactors, new cost-sharing models for large-scale load additions, and incentives to modernize the grid. But they’ve also long struggled with NIMBY opposition to change, patchworks of permitting, and special interests interested more in preserving their interest than embracing the future. Like in many other places, these forces will play out again and again in the years ahead.

Thankfully, America’s private sector remains dynamic. Developers, investors and innovators are bringing new technologies online across the Hoosier state—from one of the country’s largest solar farms at Mammoth Solar with agrovoltaics that combine farming and power, to next-gen nuclear. Indiana’s universities are playing a critical role, too, in hatching ideas, training talent and helping spin out innovations into the real world.

What goes on in Indiana should be of high interest to anyone following the national energy debate. America is at a crossroads on energy—and the center of that transformation can be found here, at the Crossroads of America. To meet this moment, Indiana decisionmakers and residents here deserve the clearest insights and best opportunities so that we can not just keep up, but lead.•

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Gemelas is chief operating officer at Climate Solutions Fund, outstanding fellow of Mitch Daniels Leadership Foundation and a proud Greek-American. Send comments to [email protected].

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