Renewable Energy and Artificial Intelligence: The New Alliance for Smart and Sustainable Power Grids

It is clear that digitalization and the energy transition are intrinsically linked: there is no technological advancement without energy, nor clean energy without the intensive application of digital solutions. As global demand for electricity grows, driven by connected devices and cloud services, technologies such as artificial intelligence (AI), the Internet of Things (IoT), and digital twins are emerging as key players in the efficient and secure integration of renewable sources into electricity grids.

AI transforms variable energy sources into predictable and competitive sources

Variable renewable energy sources—such as solar and wind—traditionally seen as intermittent, are becoming increasingly stable with the support of digitalization. AI tools allow for the prediction of generation patterns based on meteorological data, optimization of dispatch in near real time, and reduction of operation and maintenance costs. On the consumption side, smart meters, dynamic pricing, and IoT devices enable demand response programs, in which users adjust their consumption based on price signals and grid availability, increasing overall system efficiency.

However, advancing this integration poses significant challenges. The growing demand for energy in data centers supporting AI applications requires careful infrastructure planning, while emerging markets still face structural and regulatory constraints in adopting digital solutions. The lack of common technical standards and increased cyber risks also represent critical barriers. Overcoming these obstacles is essential for digitalization to not only enhance the competitiveness of renewables but also ensure a safe and inclusive global energy transition.

Check out IRENA's podcast on the topic HERE