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AI and Digitalization Power the Next Phase of Clean Energy Transition, Siemens Report Finds

According to new research, over 70 percent of energy sector respondents believe that digital technologies, particularly artificial intelligence (AI) and grid software, are essential to enabling the clean energy transition. Such technology supports the integration of renewables, transition to electrification, and optimization of energy efficiency, all of which are key to reducing fossil fuel usage.

AI to power the next phase of clean energy transition. Image Credit: Siemens

The Siemens Infrastructure Transition Monitor 2025, which surveyed 1,400 senior executives, shows that 59 percent of energy industry leaders plan major investments in autonomous systems for grids, and 68 percent view them as crucial for cutting emissions. Nearly three-quarters (72 percent) of organizations in the sector say that, over the next three years, AI will transform how their business operates, with 74 percent saying that AI is helping to make critical infrastructure more resilient.

Respondents indicated that the most likely outcomes from increased use of autonomous systems to manage power grids are lower operating costs, increased energy efficiency, and greater reliability.

While the 2025 study indicated significant progress on a number of important goals such as the phase-out of fossil fuel energy and the expansion of large-scale energy storage and renewable generation compared to results in the 2023 Infrastructure Transition Monitor, there are still opportunities for even greater progress.

Indeed, over half of companies in the energy sector (58 percent) say uncertainty about future energy system design is delaying investment in clean energy technologies. And, while 65 percent agree that electrification is the most feasible way to achieve net zero energy systems, 73 percent report that it is being held back by inadequate grid infrastructure.

Sabine Erlinghagen, CEO of Siemens Grid Software, said: “Outdated grid infrastructure poses a serious threat to the clean energy transition. By harnessing digital technologies to move towards autonomous grids, it is possible to boost grid capacity, ensuring its reliability and resilience. To that end, regulation must also keep pace with digitalization and innovation - ensuring that our energy systems are equipped to meet the demands of a clean energy future.

About the Siemens Infrastructure Transition Monitor:

The Siemens Infrastructure Transition Monitor 2025 is a biennial study commissioned by Siemens, surveying 1,400 senior executives and government representatives in 19 countries across energy, buildings and industries.

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