Energy and resources companies face the tremendous challenge of providing secure and reliable energy for 8.1 billion people and growing while moving toward a carbon-free world. Under pressure to adapt quickly to changing demands, regulations, and technologies, the energy sector is turning to AI to accelerate the energy transition and operate more efficiently, safely, and sustainably.
Today’s headlines are dominated by news about AI, from the latest discussions about Microsoft Copilot to ways that AI paves the way for a sustainable energy future. The use of AI is increasing the availability and efficiency of renewable energy sources such as solar, wind, hydroelectric, and biomass which now account for approximately 30 percent of electricity generated worldwide1
The World Economic Forum underscores the role AI plays in the energy transition and estimates that every 1 percent additional efficiency in demand creates USD1.3 trillion in value between 2020 and 2050 due to reduced investment needs.2
Microsoft partners with organizations across the energy and resources sector on solutions to drive workforce transformation, improve operational efficiencies, accelerate net-zero, and increase energy innovation and growth opportunities. We work with customers and partners on:
Our customers in power and utilities, oil and gas, and mining are transforming their workforce and operations to achieve more with less. These innovators are using digital technologies, data analytics, and automation to improve efficiency, safety, and sustainability. Investments include upskilling their employees, fostering innovation, and collaborating with Microsoft to create value for their customers and stakeholders.
Several industry leaders are at the forefront of leveraging data and AI to accelerate the energy transition, including:
Our extensive, global partner ecosystem is fundamental to accelerating innovation across the energy sector. While technology is an enabler, collaboration is the true foundation for addressing the world’s complex energy challenges. Microsoft is actively working with partners SLB, Cognite, Bentley, and many others to accelerate ideation and the development and deployment of AI-driven, sustainable energy solutions. You can find out more about our partnerships in my June blog.
Last week we announced Microsoft’s vision to deliver Copilot, your everyday AI companion—to help people and businesses be smarter, more creative, more productive, and more connected to the world around them. We believe that together with our customers and partners, Microsoft can help power your teams, businesses, and processes, to empower every person and every organization to do their very best work and to achieve more.
In the energy and resources industry, generative AI has the potential to create new solutions and optimize existing processes by enhancing predictive maintenance models which evaluate the current status of equipment and machinery, whether it’s a power line, trucks at a mining site, or offshore wind turbines. The AI models can proactively make predictions based on usage trends and consequently inform maintenance teams of potential equipment failures in advance which help energy companies optimize maintenance schedules, minimize equipment downtime, reduce costs, and ensure a safe and reliable energy supply.
AI and machine learning can be used to improve the security of energy grids by preventing cyberattacks before they happen by using data analytics to identify patterns in energy data that may be indicative of a breach. AI can also empower and enable field workers to identify high-risk tasks and help prevent serious injuries by analyzing large data sets on work sites, schedules, and historical incidents. AI models can be used to predict future supply chain information such as forecasting demand for specific products and optimizing inventory levels, and there are countless more examples around service desk scenarios, customer care and support, and internal knowledge assistants.
As AI technology continues to rapidly evolve, Microsoft is committed to the advancement of AI driven by ethical principles and making sure AI systems are developed responsibly and in ways that maintain trust. Our AI solutions and technology development align with Microsoft’s AI Principles—fairness, reliability and safety, privacy and security, inclusiveness, transparency, and accountability—along with Microsoft’s Responsible AI Standard in partnership with responsible AI experts across the company.
I hope you’re as excited as I am by the latest AI innovations across the energy and resources sector.
Explore how Microsoft is empowering the world to achieve more with AI.
1AI paves the way for a sustainable energy future, Journal of Petroleum Energy Future, February 2023.
2Artificial intelligence is critical enabler of the energy transition, Word Economic Forum in collaboration with BloombergNEF and Deutsche Energie-Agentur, September 2021.
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