AI computing, data centres, electric vehicles (EVs), heat pumps, and smart devices collectively fuelled a surge in electricity consumption. At the same time, elections have brought shifts in energy policies, resulting in changes of priority and direction.
The report examines the current transformations affecting the energy system, including the expansion of digital infrastructure, the increasing frequency and severity of extreme weather events, political changes in major economies and the rise of dynamic, flexible, and distributed energy demand where consumers are now an active part of the energy system.
Energy flexibility, which has risen strongly as a key trend over recent years, is expected to keep its upward momentum, reflecting the growing need for balancing intermittent renewables, managing demand, and ensuring grid resilience. AI and process optimisation are likely to gain even more relevance as digitalisation accelerates, and energy systems become increasingly complex. The ability to apply machine learning, predictive analytics, and automation will be seen as critical to integrating diverse technologies and optimising performance.
This rising “digital load” driven mostly by data centres is rapidly becoming the core engine of growth in power demand. Unlike previous demand drivers, this wave is highly concentrated and “always-on”. Hyperscale data centres, once planned as isolated projects, are now emerging as clustered, grid-dominating ecosystems. Electricity demand from data centres worldwide is set to more than double by 2030 to around 945TWh. AI will be the most significant driver of this increase, with electricity demand from AI-optimised data centres projected to more than quadruple by 2030. The impact is already being felt in stressed grids, resulting in delayed connections, and a fundamental rethinking of what flexibility and capacity planning must now deliver.
“In this scenario, flexibility will continue to grow in importance as operators work to balance intermittent renewables, manage surging demand, and maintain grid resilience. As an organisation, we’ve always prided ourselves on being forward-thinkers. This year’s report reflects the depth of analysis, innovation, and ambition our teams bring to understanding an energy system that is evolving faster than ever. This edition captures the challenges ahead and highlights the opportunities for those ready to lead,” commented Michael Phelan, CEO at GridBeyond.
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