In 2022, amid a historical escalation in electricity and gas prices, the European Union directed all its regulatory artillery to contain costs and ensure energy supply to the continent. Digitalization of the energy system was one of its action plans. For the first time, the Twenty-Seven acknowledged the urgent need to combine the potential of new technologies with their energy infrastructures. The goal? Protect critical networks, ensure the massive entry of renewable energies to reduce fossil fuel dependence, prevent leaks, and save costs for its citizens.
Some of the largest European energy companies began incorporating artificial intelligence into their facilities and processes years ago. But the EU's action plan sent a strong signal to the market that boosted the so-called smart grids. Today, patents for integrating AI into these electric highways have multiplied by six since 2018, according to the latest data from the European Patent Office (EPO), describing the electrical infrastructure as "one of the fastest-growing technological fields" today.
Efforts are being made to pave the way in areas such as smart meters, network automation, or improving on-site operations, for example, using robots instead of workers in high-risk areas. AI applied to electricity can detect network problems, predict demand behavior, and better manage supply, the two pillars of the business and supply security.
Within the electricity market, consumption and generation must match perfectly every minute. The expectations that AI will solve this equation are causing excitement among investors, operators, and governments, especially as the massive influx of renewables complicates the system's balance, increasing the risk of overvoltage and, in the worst cases, blackouts like the one that left the Iberian Peninsula powerless last April.
"Europe has made significant progress in energy transition. This highlights the urgency of investing in smarter and more flexible networks to balance the growing demand for variable energy sources," linked António Campinos, President of the EPO, during the presentation of the latest patent data.
But can AI really help prevent blackouts? "The answer is yes. It is used in both network operations and power plants to predict failures and anticipate maintenance or other corrective actions," says Marta Sánchez, Energy Partner at EY Spain. The potential goes beyond networks. "In the case of generation, AI already plays a very relevant role in plant operations. It is key to making predictions about solar and wind resources and adjusting plant programs to minimize deviations in the markets," explains the expert.
Referring to figures compiled by the International Energy Agency helps understand the magnitude of the change. Brussels plans to invest 584 billion in European networks by 2030, with 170,000, 30%, allocated to digitalization. China projected a modernization plan for its electrical infrastructure of 389 billion euros between 2021 and 2025; Japan has a financing plan of 136 billion, and the United States of over 9 billion under the Innovative Partnership for Grid Resilience Program (GRIP). It is not an exaggeration to elevate energy digitalization to the forefront of the major technological races being fought worldwide.
In Spain, Redeia, the company managing the high-voltage grid, is working on improving remote management of substations with AI and the Internet of Things (IoT). But not everything revolves around networks. Repsol already uses AI algorithms to predict and manage energy consumption in its refineries. "We can identify usage patterns, anticipate demand peaks, and adjust our operations in real-time, reducing our carbon footprint," explain the group, which sees AI as a competitiveness driver.
Iberdrola, Europe's largest utility by market capitalization, has been advancing in AI for a decade. "This lever is already present throughout the chain, from network planning to maintenance or customer service, with use cases in all our geographies," explains Ana Lafuente, Global Networks Director of the group, who highlights that the "digitalization culture" has contributed to better preparing the company for managing extreme events, such as the DANA that devastated Valencia.
Speaking of specific projects, those improving people's safety stand out. "The use of robots for inspection tasks in substations, specifically the SPOT robot, speeds up and digitizes visual and thermographic inspection tasks of facilities, but also minimizes the risk situations associated with on-site work." Lafuente also points to using AI to calculate, by crossing more than 50 variables, service restoration times for incidents or work on the network. "Through robotization, we have a tool that, thanks to all the data obtained from the network, automatically restores service, allowing us to minimize reconfiguration times in case of incidents."
In a decade, the company has transitioned from managing an analog to a digital and intelligent network, providing access to a wealth of data. "The massive analysis of past events allows us to work on prevention and design mitigating measures for potential risks." Ultimately, AI helps digest billions of data points, the network's memory, and leverage them to establish patterns and "be better prepared for the future."
What's next? "Looking ahead, the use of quantum computing is being explored for highly complex mathematical problems." Such as solving electrical equations with multiple scenarios to, for example, identify the best locations to deploy batteries in rural areas.