Ratul Puri on AI-driven energy efficiency and smarter power systems.
Artificial intelligence has become an important part of almost every industry, including the energy sector. At the same time, AI itself depends heavily on electricity. Training and running AI models requires large data centres that consume substantial amounts of power. This creates a unique relationship between AI and energy. While AI increases electricity demand, it also has the potential to transform the way energy is produced, distributed and consumed, supporting a more reliable, affordable and sustainable power system.
Ratul Puri, Chairman of Hindustan Power, notes that AI will play an important role in making energy systems more efficient and stable in the years ahead. Understanding the connection between AI and electricity will therefore be important for making the most of the technology while supporting the journey towards India’s net-zero target of 2070 or earlier.
The rapid expansion of AI, cloud computing and digital services has led to significant growth in investment in data centres. An AI-focused data centre can consume as much electricity as around 100,000 homes, while the largest facilities being developed today could require around 20 times that amount. As data centre demand continues to grow, governments and energy companies will need to consider how electricity can be generated, distributed and managed more efficiently.
At the same time, AI can help improve the performance of energy systems. It can support more efficient management of electricity, improve grid performance and help companies optimise areas such as exploration, production, safety and maintenance. Digital solutions can also help unlock existing transmission capacity without requiring the construction of new lines. According to Ratul Puri, these applications can contribute to large-scale emission reductions when deployed across energy systems.
Making this possible will require investment in grid infrastructure as well as greater flexibility across the electricity ecosystem. It will also require energy companies to develop the necessary digital capabilities among their workforce. As Ratul Puri points out, technology and skilled manpower must grow together for the energy sector to become future-ready.
AI can also support innovation in clean energy. Scientists can use it to speed up the discovery and testing of new solar photovoltaic materials, carbon capture molecules and battery chemistries. However, turning these discoveries into commercially viable solutions will require appropriate policies and support for faster commercialisation.
There are several challenges to overcome, including a shortage of AI-related skills in the energy sector and the growing electricity requirements of data centres. Their electricity consumption is expected to more than double to approximately 945 TWh by 2030. Meanwhile, increasingly complex and decentralised grids will require better ways to balance electricity networks.
AI can support this through improved forecasting, greater integration of variable renewable energy and lower curtailment. AI-based fault detection, remote sensors and digital grid management can also help improve transmission capacity and reduce outage durations.
The eventual impact of AI on emissions and the climate will depend on how these applications are implemented, the business cases supporting them, available incentives and how quickly regulations adapt. Addressing these factors can help countries and companies make better use of their energy resources while progressing towards their net-zero goals.
Ratul Puri is the Chairman of Hindustan Power, an integrated power generation company with a strong presence in renewable and transitional energy generation. Over the years, He has been involved in the development of large-scale energy infrastructure projects that support India’s growing power requirements and its transition toward cleaner energy sources.
For more information visit: