The Transformative Power of AI in the Utility Industry
By Mani Vadari, President, Modern Grid Solutions
If you’ve been keeping up with the news, you’re likely aware that Artificial Intelligence (AI) is rapidly expanding across various sectors of the global economy, including the military, education, entertainment, the media, and beyond. While tech companies continue to promote AI’s potential to enhance productivity, improve customer experiences, and optimize data, the leading figures in AI’s foundational and applied work have been awarded the Nobel Prizes in Physics and Chemistry for the first time.[1][2]
So what does this have to do with the utility industry?
Just as we’ve seen in other areas, AI’s applications for the utility sector are vast and varied. From optimizing energy consumption to managing grid operations, here are some key ways AI is being utilized in the utility sector, along with a recent example of a Department of Energy (DOE) grant aimed at reducing interconnection backlogs.
Here are seven AI applications for the energy sector.
DOE Grant to Reduce Interconnection Backlogs
The U.S. Department of Energy (DOE) recently announced a $30 million grant under the Artificial Intelligence for Interconnection (AI4IX) program. This initiative aims to accelerate the interconnection process for new energy generation projects by leveraging AI technologies.[1]
Interconnection backlogs have been a significant challenge, with new generation projects often facing delays of up to seven years. The AI4IX program seeks to modernize the interconnection application process by developing partnerships between software developers, grid operators, and energy project developers. AI algorithms will be applied to quickly identify and rectify deficiencies in interconnection applications, significantly reducing the time required for review and approval.
For example, AI software trained on a library of accurate documentation can review interconnection applications for required site control documentation and flag errors within submitted supporting documents. This precision and speed in identifying documentation issues will enable timely resolutions, helping to clear the interconnection backlog and ensure that new energy sources are connected to the grid more efficiently.
AI Takeaway
AI is poised to transform the utility industry, offering solutions that enhance efficiency, reliability, and customer satisfaction. AI’s applications are diverse and impactful, from demand forecasting and grid management to disaster response and fraud detection. DOE’s AI4IX program exemplifies how AI can address critical challenges, such as interconnection backlogs, paving the way for a more resilient and sustainable energy future.
Dr. Mani Vadari is a well-recognized electric industry leader and visionary, with over 30 years of experience delivering business and technical solutions.