AI Transformation for Energy and Utilities
Perhaps no sector is as squarely in the crosshairs of climate risk as energy. Power companies must transition to low-carbon sources and adapt to more volatile weather, all while meeting global energy demand.
This sector also stands to gain enormously from digital transformation, the World Economic Forum estimates that digitalisation could unlock US$1.3 trillion of value in the electricity sector through efficiencies and new services Utilities are deploying smart grids, IoT sensors, and AI to integrate renewable energy, balance supply and demand, and detect faults in real time.
In Australia, which has abundant solar/wind resources and has experienced severe climate extremes, energy firms have been early adopters of digital tech for sustainability.
70% of Australian energy suppliers report they are actively implementing digital transformation to achieve net zero goals, well above the ~50% global average.
Customers and regulators are also pushing them – 78% of Australian energy providers cite rising customer demand for sustainability as a major driver in the past five years.
The result is that the energy sector is undergoing a major overhaul: legacy fossil-fuel-based utilities are reinventing themselves around renewables, grid digitization, and data-driven customer services.
Those that fail to adapt face not only regulatory and reputational risk, but also potential obsolescence as cleaner tech competitors (and prosumers) take market share.
Artificial Intelligence for Life 