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The smart energy era
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The smart energy era
Harnessing digital transformation and AI for a resilient energy future
The energy sector is undergoing a profound transformation, entering what many are calling the ‘smart energy era’. This new age is defined by the seamless integration of digital technologies, artificial intelligence (AI), and data-driven systems into every facet of energy production, distribution, and consumption.
At the same time, how we deliver more and better energy is changing - using only the levers of innovation and technology is not sufficient. In an age of artificial intelligence, it is essential to humanise energy: to retain sight of human experience and leverage collective wisdom to deliver energy for billions of better lives and a healthy planet.
As we look ahead to World Energy Congress 2026 in Riyadh next October, convening leadership dialogues around these innovations is essential to ensure that the digital revolution in energy delivers on its promise of efficiency, resilience, and sustainability - without losing sight of who and what energy is for.
Digital transformation: the backbone of modern energy systems
Digital transformation is fundamentally reshaping how energy is managed and delivered. Smart grids, at the heart of this transformation, use digital communication, sensors, and real-time data analytics to monitor and react to changes in energy demand and supply. For consumers, this can mean real-time insights into their energy consumption through user-friendly apps, empowering them to lower bills, choose cleaner energy sources, and even sell excess energy back to the grid. Unlike traditional grids, smart grids can integrate renewable energy sources more effectively, optimise electricity distribution, and enhance reliability for all users.
Predictive analytics and advanced process controls, for example, are enabling renewable energy providers to forecast production more accurately and operate their assets at peak efficiency, reducing costs while also minimising environmental impact. Consumer-level innovations such as community-driven microgrids are enabling households to trade renewable energy locally, strengthening community ties and resilience during outages.
AI and machine learning: the brains of the smart energy era
AI is rapidly becoming indispensable in the energy sector. By automating processes, enabling predictive maintenance, and optimising decision-making, AI is driving operational excellence and sustainability. In power generation and distribution, AI algorithms analyse massive datasets from sensors and smart meters to make informed decisions about energy flow, demand management, and system maintenance.
Key applications include:
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Real-time monitoring and automation: AI-powered systems detect voltage fluctuations, equipment malfunctions, and overloads, enabling automatic adjustments to maintain grid stability.
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Predictive maintenance: AI predicts potential failures before they occur, reducing downtime and maintenance costs. For consumers, this means fewer blackouts and faster restoration of service after storms, making everyday life less disruptive.
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Decentralised energy systems: AI facilitates peer-to-peer energy trading and decentralised power generation, empowering consumers and small producers to participate directly in energy markets. This democratisation of energy empowers communities and individuals to have a say in how their energy is produced and consumed, fostering a sense of ownership and engagement with the wider energy transition.
Blockchain and digital assets: empowering consumers and ensuring transparency
Blockchain technology is another pillar of the smart energy era. By providing a secure, transparent, and immutable ledger for energy transactions, blockchain enables peer-to-peer trading and transparent carbon offsetting. Digital assets and token-based incentives further empower consumers to make sustainable choices and participate in new economic models that reward energy conservation and carbon abatement.
This decentralisation disrupts the traditional, centralised model of energy distribution, fostering local energy economies and reducing reliance on large intermediaries.
Smart infrastructure: building the foundation for a digital energy future
Modern energy infrastructure is increasingly intelligent, integrating information and communication technologies (ICT), the Internet of Things (IoT), big data, and AI to create coordinated systems that span generation, grids, loads, and storage. For example, grid-forming technologies in photovoltaic (PV) and energy storage systems are enabling solar power to become a mainstream, stable energy source, even in remote or challenging environments.
Smart infrastructure also supports urban energy systems and home energy management, optimising energy use at every level - from clean energy bases to individual households.
Challenges and opportunities: the leadership agenda
The digital transformation of energy brings immense opportunities, but also new challenges:
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Cybersecurity and data privacy: As systems become more interconnected, protecting critical infrastructure from cyber threats is paramount.
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Energy intensity of digital systems: Data centres and AI require significant energy; the potential ‘demand tsunami’ creates risks for energy security in geographies worldwide. Ensuring sustainable operations is essential.
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Equitable access: Ensuring all communities benefit from digital innovation, not just those with existing resources or infrastructure.
Leadership dialogues at World Energy Congress 2026 will address these challenges and foster collaboration for actionable solutions.
Convening for a smarter, more sustainable energy future
The smart energy era is not just about technology, it’s about reimagining how we produce, manage, and consume energy in a way that is more efficient, resilient, and inclusive. By convening leadership dialogues around digital transformation, AI, and smart infrastructure, World Energy Congress 2026 will help ensure that the benefits of the smart energy era are realised for all, driving global energy transitions forward with intelligence, transparency, and shared prosperity.
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