Will AI Revolutionize The Power Industry?

blog post cover artificial intelligence in power industry

Did you hear people saying that AI is the new electricity? What does that mean and is it true? In this article I will focus on how AI can be integrated in the power industry and how it can start a true revolution. Let’s dive into it.

What Is AI?

Artificial Intelligence is a broad term, an umbrella, for other technologies like Machine Learning or Deep Learning. Essentially, it is the concept of a machine being able to process and learn from data without predetermined actions. So, instead of a human constantly adapting the machine to the data, the machine adapts itself. That’s the basic concept of all those technologies. In Machine Learning algorithms, feeding data to the machine is extremely important, because that’s what enables it to learn from it and become more efficient.

What Is AI Used For?

There’s two most typical use types for AI-based software. It’s either predictions or classifications. The first one is about providing insights into the future based on the historical data. The second one is about classifying cases or customers or behaviours based on historical data. Both prove to be extremely useful across various different industries. Minimizing risks, making maintenance easier, improving customer experience. Overall, accelerating growth and increasing revenue. How does that fit into the power industry? In which way will AI revolutionize this sector?

Smart Grids

Keeping the grid in balance is a hard task that requires a lot of data to be analyzed, especially now, with large, complicated and decentralized networks. AI is the perfect solution to help manage the grid more effectively. Smart grids are the way for us to better react to the energy consumption and, at the same time, manage multiple different energy sources. Based on data, AI is able to predict usage and production patterns. This way, we’re able to manage the whole power ecosystem (consumers, producers, storage facilities) as whole in very little time. In addition, AI can stabilize the power grid by, for example, detecting anomalies and issues in generation, consumption, or transmission in near real time, and then react accordingly.

Power Trading

One of the biggest issues in the power industry is managing the demand effectively. Power trading is one of the ways to respond when the demand skyrockets. But with AI, it can be that much more effective. The predictive analysis Artificial Intelligence can conduct provide for very accurate forecasts. Especially when it comes to forecasts, AI can help facilitate and speed up the integration of renewables.

Smart Homes & Smart Meters

Smart appliances and smart meters are already around and help consumers manage their usage, reduce consumption and costs. For the providers, it makes managing individual consumption and billing easier. Based on each user’s consumption pattern, smart homes can make adjustments taking into account energy costs at the given time.

Is This A Revolution?

AIis improving the way we work and the way we use products and services, but power and energy are especially important. As we, as a civilization, realize how important sustainability is, we will realize that Artificial Intelligence is a true revolution for our energy production and consumption. It’s a powerful tool in the hands of power providers and in the hands of consumers. Where will we go next? It’s hard to predict exactly, but the opportunities seem to be endless.