AI for Utilities: A Sustainable Future

The Energy trilemma

By 2025, utilities face a threefold challenge: sustainability, affordability, and supply security. This “energy trilemma” is further complicated by the rise of electrification—from electric vehicles to heat pumps—and the unpredictable effects of geopolitical tensions. Additionally, investments are needed to prepare infrastructure for decentralized energy generation from solar panels and wind turbines.

“We’re seeing a spike in data thanks to digitalization,” says Ruben Vermaercke, one of our experts. “But data alone isn’t enough—it must be translated into concrete actions.”

Challenges abound, but what about solutions?

AI as a catalyst for innovation

More and more, utilities are turning to technology—including artificial intelligence—to meet these challenges. “AI helps us identify patterns that would be invisible to the human eye,” explains Julie Vermeiren, an account manager at the Cronos Groep specializing in utilities. “For example, AI can determine the optimal placement of wind farms based on factors such as water currents, wind directions, and nearby infrastructure.”

But that’s just the beginning. AI offers a wide range of possibilities for the utilities sector.

Here are a few key applications:

AI for smarter energy management

• AI can help balance energy supply and demand, even during periods of low solar or wind generation, ensuring a smoother energy flow.
• What if your neighbourhood could function as a mini power plant? Surplus solar or wind energy can be intelligently stored in community batteries and used when demand is highest.
• Smart grids can monitor and redistribute electricity automatically, preventing sudden outages.
• AI can dynamically adjust energy prices based on supply, allowing electric vehicles to charge when electricity is cheapest.

AI for maintenance and infrastructure

• AI can analyze satellite and drone images to inspect pipelines and power lines for wear and tear.
• Predictive maintenance enables grid operators to prioritize repairs before failures occur, using sensors and data analysis to detect potential faults.
• Smart meters powered by AI can detect unusual water or gas consumption and send alerts in case of leaks.

AI for process optimization

• AI can enhance water purification by adjusting chemical use based on real-time water quality, reducing both chemical and energy consumption.
• In waste management, AI can guide robots to sort waste using image recognition technology.
• Even wastewater contains residual heat. AI-driven systems can capture and repurpose this heat to warm buildings or even entire neighborhoods.

Let's get practical

Beyond these operational improvements, AI can also transform customer service. One of the biggest challenges for energy providers is handling a high volume of customer inquiries, many of which involve straightforward issues such as billing, meter readings, or moving services. To address this, we collaborated with a major energy provider to develop an intelligent virtual agent.

This AI-powered assistant is trained to recognize and respond to frequently asked questions, such as:

• “I haven’t received my bill.”
• “How do I submit my meter readings?”
• “I’m moving—what do I need to do?”

The virtual agent is available 24/7, providing instant responses without wait times. Integrated with the energy provider’s systems, it can retrieve and process customer-specific information. As a result, call center inquiries have dropped by approximately 5,000 per month. By automating routine questions, customer service teams can focus on more complex issues, leading to greater efficiency, lower costs, and an improved customer experience.

What's next for AI in utilities

The utilities sector is on the brink of an AI-driven transformation. Experts predict that AI will play a key role in managing smart grids, forecasting energy demand, and integrating renewable energy sources. Additionally, automation is expanding across all operational areas, from maintenance and inspections to customer service and administration. However, this shift also raises concerns. The demand for transparency and oversight of AI systems is growing, particularly in a sector that manages critical infrastructure. Data security and privacy are also major considerations. Striking the right balance between innovation and regulation will be crucial. In the coming years, we anticipate further experimentation, scaling up of pilot projects, and stronger partnerships to address the challenges of the energy transition. One thing is certain: utilities that invest in AI today will gain a competitive edge. AI has the potential to make the industry more flexible, efficient, and customer-oriented.