AI observatory to be launched by IEA

The IEA has announced its intention to establish an observatory on energy, AI and data centres to gather data on AI’s electricity needs worldwide.

Speaking at an AI action summit organised by the French government, IEA Executive Director Fatih Birol said the observatory would launch on 10 April to gather the most comprehensive and recent data worldwide on AI’s electricity needs, in addition to tracking cutting-edge AI applications across the energy sector.

On the same day the IEA also intends to release a report on energy and AI focussed on meeting demand from data centres and AI, as well as how AI innovations could transform the ways in which energy is produced, consumed and distributed.

Thousands of data centres are set to be built in the next five years, commented Birol.

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“But our analysis at the IEA shows that unless the energy industry, tech sector and governments collaborate to deliver the necessary power infrastructure, many projects could be delayed or even cancelled.”

This initiative is just one of several under way on AI and data centres in the energy sector.

Eurelectric has flagged the topic of interest and is currently working on a study for release at its Power Summit in June, where issues such as the potential of data centres to facilitate new PPA models and investments in innovative renewable technologies are planned for discussion.

ETIP SNET is currently working on a position paper on unlocking the potential of AI and generative AI in smart grids, which is scheduled to appear on 3 April. Topics to be covered include a review of EU and national legislation, example use cases and best practices and a roadmap and recommendations for implementation.

The European Commission also is working on a roadmap to accelerate the use of AI and digitalisation in Europe’s energy sector, which is due in early 2026 – a key part of which will be a focus on the risks and challenges, such as cyber and data security.

AI gigafactories

The energy sector roadmap is being developed against a background of numerous activities taking place within the European Commission to advance sector wide use of AI.

The most recent of these, also announced at the Paris action summit, is the launch of the InvestAI initiative to mobilise €200 billion for investment in AI, including a new fund of €20 billion for four AI gigafactories.

These gigafactories are planned to have around 100,000 last-generation AI chips for training large AI models.

This is around four times more than the 12 AI factories currently being set up, of which seven have been announced – in Spain, Italy, Finland, Luxembourg, Sweden, Germany and Greece – with a further five to come.

These will be available to start-ups, industry and researchers for AI model development and are considered essential for its advance, including talent building.

With data key for AI, the initiative to develop common European data spaces also has been accelerated. In the energy domain six key projects are under way – Int:net, OMEGA-X, EDDIE, Enershare, Synergies and Data cellar.

The GenAI4EU initiative also is under way to support the development of novel use cases and emerging applications in areas including robotics, materials and batteries, cybersecurity and digital twins.