Artificial intelligence (AI) is transforming the energy landscape, bringing unprecedented opportunities to accelerate decarbonisation and address the climate crisis. At COP29 in Baku, Azerbaijan, global leaders, innovators, and industry experts gathered to spotlight the role of AI in shaping a sustainable energy future. With its ability to optimise complex systems and integrate renewable energy sources, AI is increasingly recognized as a critical enabler in the transition to net-zero. This year’s COP conference emphasised not only the technological advancements of AI but also its broader implications for global climate goals.
Transforming Energy Systems with AI
The potential of AI to revolutionise energy systems lies in its capacity to process and analyse large datasets. By identifying inefficiencies and optimising energy flows, AI can contribute directly to reducing greenhouse gas (GHG) emissions. This capability is particularly impactful in managing power grids, where AI-driven systems can balance supply and demand while integrating renewable sources like solar and wind energy.
AI also excels in predictive maintenance, identifying potential issues in energy infrastructure before they lead to failures. By proactively maintaining critical systems, AI ensures grid reliability while minimising downtime—an increasingly important factor as global energy systems become more interconnected.
COP29 highlighted specific applications of AI in energy optimisation, particularly in emerging markets such as India, Brazil, and South Africa, where demand for energy-efficient solutions is rapidly increasing. For instance, AI is being used in India to optimise electricity grid operations, reducing power outages, and improving energy distribution in rural areas. In Brazil, AI-driven systems are enhancing the efficiency of wind and solar power plants by predicting weather patterns and adjusting output in real-time. Similarly, in South Africa, AI is being used in industrial sectors to minimise energy waste by monitoring equipment performance and automating energy-saving processes. These examples illustrate how AI is already driving tangible results, bridging the gap between innovation and practical implementation.

Bridging Innovation and Impact
At the heart of COP29’s discussions were initiatives showcasing the transformative power of AI. The “AI for Climate Action Innovation Factory” brought innovators together to develop AI solutions aimed at emission reductions across industries, cities, and transportation networks. These initiatives demonstrated how AI can tackle pressing challenges, such as integrating renewables into legacy systems and optimising industrial energy use.
Another standout was the ITU AI/ML in 5G Challenge, which focused on leveraging AI to reduce energy consumption in telecommunications. Participants created models capable of predicting solar energy availability and efficiently integrating it into mobile networks. This innovation exemplified AI’s ability to enhance renewable energy utilisation in previously overlooked sectors.

The Economic and Geopolitical Implications
Beyond its technical capabilities, AI’s adoption in energy carries significant economic and geopolitical implications. For instance, industry leaders such as Shell have incorporated AI to improve operational efficiency and reduce GHG emissions. By doing so, they not only position themselves as innovators but also capture competitive advantages in an evolving energy market.
Meanwhile, smaller companies like BrainBox AI are leveraging AI to optimise energy use in commercial buildings, significantly reducing operational costs and carbon footprints. These applications underscore how AI drives economic value while supporting decarbonisation.
Geopolitically, the growing reliance on AI in energy systems also raises critical questions. As nations compete for technological leadership, AI could become a point of contention or collaboration in global climate negotiations. COP29 highlighted the importance of ensuring equitable access to AI-driven solutions, particularly for developing countries facing disproportionate climate impacts.
Addressing Challenges and Ensuring Sustainability
While AI offers transformative potential, it also presents challenges that cannot be overlooked. One major concern is the significantly high energy consumption associated with AI operations, including data centres that often rely on fossil fuels. This paradox risks undermining AI’s contributions to decarbonisation unless renewable energy powers these systems.
Additionally, the rapid pace of AI development raises questions about environmental sustainability, including the disposal of obsolete hardware and the water usage of data centres. Addressing these issues will require concerted efforts from policymakers, industries, and innovators to align AI’s growth with sustainability principles.
A Unified Vision for the Future
The discussions at COP29 underscored a unified vision: AI is not merely a technological tool but a pivotal force in achieving global climate goals. By optimising energy systems, integrating renewables, and driving innovation, AI has the potential to reshape the energy landscape for the better.
As we move forward, the focus must be on responsible AI deployment, ensuring that its benefits are maximised while its environmental and social costs are minimised. The lessons from COP29 serve as a roadmap, emphasising the importance of collaboration between governments, industries, and researchers.
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https://aiforgood.itu.int/about-us/ai-for-climate-action-innovation-factory/