The energy sector is not only powering artificial intelligence but is also being transformed by it, according to the 2025 Powering Possible report, released on Thursday by ADNOC and Microsoft.
The study found that 88% of surveyed energy leaders view scaling AI as essential to achieving energy transformation, with the greatest impact expected in distribution and emerging energy solutions such as predictive maintenance, smart grid management, real-time demand forecasting, and energy optimization.
At the same time, 55% said investments in grid modernization are critical to meeting AI's growing power demands, followed by 38% citing energy storage and 33% pointing to advanced materials such as high-efficiency conductors.
The report draws insights from more than 850 global experts across energy, technology, AI, academia and finance, including contributors from OpenAI, TotalEnergies and the International Energy Agency.
It highlights a major shift in the AI-energy conversation, from pilots to deployments, showing that the digital transformation of the energy sector is already underway.
Nearly nine in ten companies surveyed have increased AI and digital infrastructure investments since 2024, and 73% are deploying AI across multiple business functions.
One in five are already using agentic AI to automate complex decision-making, signaling that AI is no longer a future concept but a present-day asset.
However, challenges remain. Cybersecurity has overtaken cost as the top concern for AI adoption, cited by 49% of executives, followed by 45% who pointed to data quality and consistency and 39% who cited a shortage of skilled talent. Industry-wide integration hurdles and slower innovation cycles are also slowing progress.
Commenting on the report, United Arab Emirates Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO Sultan Ahmed Al Jaber said: "AI is no longer a future promise for the energy sector; it's delivering real impact today from predictive maintenance to AI-optimized grids."
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr