The size of the global AI in energy market is expected to increase at a Compound Annual Growth Rate (CAGR) of 36.9% over the forecast period, from USD 8.91 billion in 2024 to USD 58.66 billion by 2030. The electrical grid is among the biggest structures ever constructed. Grid planners must continue to direct the expansion of the power grid despite its size and complexity in order to guarantee that all users can connect to it, that there is enough generation to meet demand, and that generation can meet demand. The expansion of distributed energy systems as well as additional renewable energy sources will require significant infrastructure expenditures in order to achieve a completely clean power grid.
Download PDF Brochure@ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=231720509
Based on application, the grid optimization & management segment is expected to hold the largest market size during the forecast period.
AI in grid optimization and management enhances the strength, robustness, and efficiency of energy systems in distribution. It scans very large amounts of real-time data to detect inefficiencies, predict demand patterns, and engage in load balancing to prevent overload and the possibility of short-circuit outages. It adjusts grids dynamically, introduces renewable sources of energy in a very efficient manner, and minimizes energy losses in the transmission process. Moreover, AI-based automation enables faster responses to disruptions to ensure energy supply and efficiently maintain grid infrastructure. It is one of the applications paving the way toward the modernization of the energy network and a move toward smart grids.
The distribution segment is expected to have the highest growth rate during the forecast period.
AI in energy distribution improves efficiency and reliability in power delivery by optimizing grid management and reducing losses. Real-time monitoring and predictive analytics help AI detect faults, anticipate equipment failure, and smooth out the flow of electricity across the grid. It can allow utilities to balance supply and demand better, ensuring steady power delivery, even during peak usage periods. AI algorithms may also optimize voltage regulation so that power is delivered efficiently and within safe limits. Also, AI facilitates the integration of renewable energy sources into the distribution network; it balances intermittent generation sources such as solar and wind with grid needs. With improved forecasting and dynamic control from AI, waste energy is minimized, operations respond better, and it is possible to automate some features of grid maintenance, thus bringing downtime and the cost of operations down. In general, AI is revolutionizing the energy distribution system to be smarter and more dynamic.
Asia Pacific is expected to hold the highest growth rate during the forecast period.
State Power Rixin Technology, in collaboration with Huawei and China Huadian Corporation, launched a new energy meteorological power prediction solution in October 2024 in China that enhanced the prediction accuracy performance at a reduced operating cost for power plants. AI is also utilized to generate new energy efficiently and predict extreme weather impacts on renewable sources. Suola wind farm in Hebei province uses AI for intelligent control and management of wind and solar stations to become more efficient with low-cost manpower, thus achieving efficiency in service operations. In September 2024, KIER finalized its research on Urban Electrification with AI. This decreases the use of fossil fuel through integrated renewable energy in the source of energy from the city, for example, building-integrated solar technology. AI Energy Management Algorithms in Model weather and human behavior optimize energy sharing and stabilize power grids during Low-probability High-impact Events. In June 2024, CSIRO collaborated with CoreLogic in launching RapidRate, the rate of AI-enabled estimation of the energy efficiency of existing homes. The CSIRO RapidRate AI tool assesses the energy efficiency of dwellings with minimal input. Utilizing a set of key factors based on floor area, orientation, and building materials, RapidRate applies the power of machine learning techniques to determine an indicative star rating consistent with the Nationwide House Energy Rating Scheme (NatHERS).
Request Sample Pages@ https://www.marketsandmarkets.com/requestsampleNew.asp?id=231720509
Unique Features in the Artificial Intelligence in Energy Market
One of the most distinctive features of AI in the energy market is its ability to analyze vast datasets—such as historical consumption, weather conditions, and real-time grid data—to accurately forecast energy demand and supply. This enables utilities to balance load efficiently, reduce energy wastage, and prevent grid overloads or blackouts. AI-driven forecasting models significantly outperform traditional statistical methods in accuracy and responsiveness.
AI enables the development of smart grids that are dynamic, automated, and capable of real-time decision-making. These grids use sensors and AI algorithms to monitor energy flows, detect faults, and optimize distribution. Unlike traditional systems, AI-powered grids can self-adjust, integrate distributed energy sources, and enhance overall grid resilience and reliability.
A key feature is AI-driven predictive maintenance, where machine learning models analyze equipment data to detect early signs of failure. This minimizes downtime, reduces maintenance costs, and extends asset lifespan. Energy companies can proactively schedule repairs instead of reacting to breakdowns, improving operational efficiency significantly.
Major Highlights of the Artificial Intelligence in Energy Market
The AI in energy market is experiencing strong growth as energy companies accelerate digital transformation initiatives. Utilities and power providers are increasingly adopting AI technologies to modernize aging infrastructure, enhance operational visibility, and remain competitive in a rapidly evolving energy ecosystem.
A key highlight is the widespread deployment of AI-enabled smart grids that allow real-time monitoring, automation, and decentralized energy management. These intelligent systems improve grid efficiency, reduce transmission losses, and enable better handling of fluctuating energy demand.
AI is playing a crucial role in enabling the integration of renewable energy such as solar and wind into traditional grids. By forecasting generation patterns and managing intermittency, AI supports the transition toward cleaner energy and helps maintain grid stability.
Inquire Before Buying@ https://www.marketsandmarkets.com/Enquiry_Before_BuyingNew.asp?id=231720509
Top Companies in the Artificial Intelligence in Energy Market
Schneider Electric SE (France), GE Vernova (US), ABB Ltd (Switzerland), Honeywell International (US), Siemens AG (Germany), AWS (US), IBM (US), Microsoft (US), Bidgely (US), Oracle (US), Vestas Wind Systems A/S (Denmark), Atos zData (US), C3.ai (US), Tesla (US), Alpiq (Switzerland), Enel Group (Italy), Origami Energy (UK), Innowatts (US), Irasus Technologies (India), Grid4C (US), Uplight (US), GridBeyond (Ireland), eSmart Systems (Norway), Ndustrial (US), Datategy (France), Omdena (US), Avathon (US), Iberdrola (Spain), Constellation (US), and Jinko Solar (China). The market players have adopted various strategies to strengthen their AI in energy market position. Organic and inorganic strategies have helped the market players expand globally by providing energy solutions & services.
Schneider Electric SE
Schneider Electric SE is a French multinational corporation that specializes in digital automation and energy management. Schneider Electric offers AI-driven energy solutions for homes and industries. Its Wiser Home platform optimizes household energy consumption using machine learning. Additionally, its EcoStruxure Platform enhances industrial energy efficiency, sustainability, and productivity. Schneider Electric partnered with Ooredoo Qatar to collaborate on digital transformation projects. The partnership will incorporate innovative technologies such as cloud computing, artificial intelligence (AI), and eco-friendly data centers, enhancing efficiency and sustainability in sectors like utilities, healthcare, energy, and infrastructure.
GE Vernova
GE Vernova Inc. is an energy equipment manufacturing and services company. GE Vernova offers innovative solutions in the energy segment, integrating AI and digital technologies. The solutions include Autonomous Inspection, AI/ML tools, and CERIUS for optimized asset performance, emissions reduction, and compliance. GE Vernova and the US Department of Energy collaborated to develop an AI Assistant for permitting and training for hydrogen deployment. GE Vernova will lead a project team named H2Net, including Clemson University and Roper Mountain Science Center. As part of this initiative, H2Net will develop an AI Assistant that is trained specifically on the relevant, critical documents for safe H2 handling and permitting.
Siemens AG
Siemens AG is a German multinational technology company. It provides solutions & services across industrial automation, distributed energy resources, rail transport, and the health technology segments. Siemens offers AI-powered solutions in energy through tools like the Hydrogen Plant Configurator and advanced automation systems. The configurator uses generative AI to streamline hydrogen plant design, providing detailed layouts and predicting key metrics. Its energy automation solutions integrate IoT, digital twins, and data analytics to enhance energy protection, communication, and operational efficiency. SparkCognition and Siemens partnered on a cybersecurity system, DeepArmor Industrial, fortified by Siemens, which is designed to protect endpoint, or remote, operational technology (OT) assets across the energy value chain by leveraging artificial intelligence to monitor and detect cyberattacks.
ABB Ltd
ABB Ltd, a Switzerland-based global technology company, leverages artificial intelligence (AI) in the energy market to enhance efficiency, reliability, and sustainability in power systems. Through its AI-driven solutions, ABB enables predictive maintenance, smart grid management, and energy optimization across industrial and utility sectors. The company integrates AI into its digital platform, ABB Ability™, which supports advanced data analytics, machine learning, and automation to help clients optimize energy usage, reduce downtime, and improve operational decision-making in real time. ABB’s initiatives in AI align with its broader mission to drive the transition toward more intelligent and sustainable energy systems.
Honeywell International
Honeywell International Inc., a U.S.-based multinational, is actively integrating artificial intelligence (AI) into the energy sector to enhance operational efficiency, reliability, and sustainability. Through its Honeywell Forge platform, the company offers AI-enabled solutions like Forge Performance+ for Utilities, which utilizes machine learning and digital twin technologies to improve grid asset management and enable automation processes such as demand response and distributed energy resource management . Honeywell’s Experion Operations Assistant incorporates explainable AI to assist plant operators in identifying production issues and providing step-by-step guidance, thereby optimizing operations and accelerating workforce expertise . Collaborations with companies like Qualcomm further bolster Honeywell’s AI capabilities, enhancing connectivity and data analytics at the edge to support smarter, more autonomous energy operations.
Media Contact
Company Name: MarketsandMarkets™ Research Private Ltd.
Contact Person: Mr. Rohan Salgarkar
Email: Send Email
Phone: 18886006441
Address:1615 South Congress Ave. Suite 103, Delray Beach, FL 33445
City: Florida
State: https://www.marketsandmarkets.com/Market-Reports/ai-in-energy-market-231720509.html
Country: United States
Website: https://www.marketsandmarkets.com/Market-Reports/ai-in-energy-market-231720509.html
Press Release Distributed by ABNewswire.com
To view the original version on ABNewswire visit: Artificial Intelligence in Energy Market Overview, In-depth Insights, Growth Drivers, Key Segmentation, and Future Trends To 2030
