Author:
IEA
Language:
English

Energy and AI

March 2025
Innovation

Published by the International Energy Agency (IEA) as a World Energy Outlook Special Report, this is the first comprehensive global analysis examining the full relationship between energy and artificial intelligence. Led by IEA Director of Sustainability, Technology and Outlooks Laura Cozzi, the report addresses both sides of the energy-AI nexus: the growing electricity demand from AI data centres, and the potential for AI to transform how energy is produced, managed and consumed.

On the demand side, the report confirms that electricity consumption for AI is growing fast, driven by data centre expansion. While other sources of electricity demand are growing faster in aggregate, the AI-related surge has significant implications for grid planning, generation mix and energy security in specific geographies. The IEA outlines a three-pillar response: securing the right mix of energy sources for uninterrupted data centre power (including renewables, natural gas and emerging nuclear options), accelerating grid infrastructure investment, and strengthening dialogue between policy makers, tech companies and the energy sector.

On the supply side, the report identifies AI as a potentially transformative tool for energy companies: optimising exploration, production, maintenance and safety; unlocking electricity transmission capacity; and accelerating the integration of renewable energy. It also covers implications for jobs and skills in the energy workforce.

For organisations thinking about the sustainability of their AI investments or the broader energy transition, this report provides the authoritative global baseline from the world's leading energy analysis body.

Contents:

  • Foreword
  • Acknowledgements
  • Executive summary
  • The rise of AI and its nexus with energy
  • Energy for AI
  • AI for energy optimisation
  • AI for energy innovation
  • Emerging themes on energy and AI
  • Annexes

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Energy and AI

March 2025
Innovation

Published by the International Energy Agency (IEA) as a World Energy Outlook Special Report, this is the first comprehensive global analysis examining the full relationship between energy and artificial intelligence. Led by IEA Director of Sustainability, Technology and Outlooks Laura Cozzi, the report addresses both sides of the energy-AI nexus: the growing electricity demand from AI data centres, and the potential for AI to transform how energy is produced, managed and consumed.

On the demand side, the report confirms that electricity consumption for AI is growing fast, driven by data centre expansion. While other sources of electricity demand are growing faster in aggregate, the AI-related surge has significant implications for grid planning, generation mix and energy security in specific geographies. The IEA outlines a three-pillar response: securing the right mix of energy sources for uninterrupted data centre power (including renewables, natural gas and emerging nuclear options), accelerating grid infrastructure investment, and strengthening dialogue between policy makers, tech companies and the energy sector.

On the supply side, the report identifies AI as a potentially transformative tool for energy companies: optimising exploration, production, maintenance and safety; unlocking electricity transmission capacity; and accelerating the integration of renewable energy. It also covers implications for jobs and skills in the energy workforce.

For organisations thinking about the sustainability of their AI investments or the broader energy transition, this report provides the authoritative global baseline from the world's leading energy analysis body.

Contents:

  • Foreword
  • Acknowledgements
  • Executive summary
  • The rise of AI and its nexus with energy
  • Energy for AI
  • AI for energy optimisation
  • AI for energy innovation
  • Emerging themes on energy and AI
  • Annexes