A tale of two transitions: sustainable energy and Artificial Intelligence

Abstract

Energy sector landscape

Over the last two decades, the energy sector has undertaken a structural transformation summarised by the 3Ds: decarbonisation, decentralisation, and digitalisation.

The drive towards decarbonisation has seen notable progress through increased integration of renewable energy sources. This involves strategic actions, such as replacing carbon-intensive technologies like coal power plants with large-scale renewable energy power plants, increasing renewable energy self-consumption rates among industrial, domestic, and buildings, and electrifying vehicle fleets. Additionally, efforts extend to energy vectors like green hydrogen and energy storage technologies, providing enhanced system flexibility, including seasonal storage, and (at least) keeping the security of energy supply. However, the substantial increase in renewable energy introduces significant challenges in all energy system elements: generation, transmission, distribution, and consumers.