An annual survey conducted by industrial real estate investment trust Prologis revealed supply chain managers are becoming increasingly concerned with reliable energy sources for the warehouses they operate.
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Of the 1,816 senior executives polled across the globe, 89% said they experienced an energy-related disruption to operations over the past year. The outlook among the group is that energy reliability could be the “next major supply chain crisis.”
“Almost nine in 10 companies experienced energy disruption in the past year, from price volatility to weather-driven outages,” a Monday report said. “Executives are consequently worried about power reliability, with seven in 10 saying they fear outages more than any other disruption.”
Mass adoption of AI technologies and the required buildout of data centers to support them will likely drive a 10% to 50% increase in power requirements over the next five years, 76% of the respondents said.
Eighty-three percent said energy procurement could reach crisis level, however, less than a third currently have backup systems in place. Interestingly, 90% said they would pay premium rates for warehouses with dependable power sources.
“Energy is the new fault line in global supply chains,” said Susan Uthayakumar, chief energy and sustainability officer at Prologis. “A majority of companies faced energy disruptions last year, and most expect their power needs to surge in the years ahead. The companies that solve for energy resilience will be the ones that stay ahead.”
Fundamental transformation of global supply chains underway
The report flagged other trends that are reshaping supply chains.
Production and distribution are moving closer to the consumer, with 77% of companies already on a path to “regional self-sufficient networks,” and six in 10 expecting a more localized supply chain by 2023.
“Geographic realignment is accelerating toward localized production, aligning around major cities as high consumption centers and labor bases,” the report said. “After decades of chasing the cheapest global labor, companies are reversing course.”
Also, 70% of companies have implemented advanced or transformational AI technologies to improve operations.
While 82% of survey respondents expressed optimism for 2026, they also acknowledged changes in business practices, such as adopting new technology, implementing risk monitoring systems and increasing inventory levels to prevent stockouts.
“This report confirms what our customers are navigating every day,” said Hamid Moghadam, Prologis co-founder and CEO. “Supply chains are going through the biggest reset in a generation, and it comes down to three things: energy reliability, AI and location. The new priority is resilience — building networks that can adapt and endure.”
The Prologis (NYSE: PLD) survey was conducted in mid-August in conjunction with The Harris Poll.
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