Industrial AI and our energy future
The energy industry has lagged in adopting AI, but industrial AI could create value through predictive maintenance and optimisation
The success of energy companies is becoming more complex, with the dual challenge of supplying the world’s growing demand while achieving the planet’s need for increased sustainability. Digital technology, particularly AI, is becoming crucial to navigating this complexity and the marketplace’s volatility. 22pc of respondents in a 2020 survey from consulting firm McKinsey report at least 5pc of earnings before interest and taxes (Ebit) attributable to AI. In the manufacturing (process and discrete) sector, 15pc of the AI use cases are in the areas of energy and yield optimisation, and another 12pc in predictive maintenance. But almost every analysis shows that the energy industry is a laggard
Also in this section
23 May 2024
Make no mistake, Africa has a crucial and increasingly important role within OPEC, even given its relatively small production volumes and the departure of Angola
22 May 2024
From deglobalisation to potential shortages, policymakers must be mindful of the law of unintended consequences
21 May 2024
With just a small presence from the oil and gas industry, the World Energy Council’s biennial congress gave a stark reminder of Europe’s energy priorities
20 May 2024
Not for the first time, a foreign oil company-led project in Iraq’s Kurdistan region is dealing with the aftermath of a deadly drone attack