AI Can Cut Energy Use by 30% Through Smart Automation, Schneider Electric CEO Says

Artificial Intelligence Offers Major Power Savings Through Automation

Artificial intelligence is emerging as both a significant driver of global energy demand and a powerful solution for electricity conservation, according to Schneider Electric CEO Olivier Blum. Speaking at the AI Impact Summit in New Delhi, Blum revealed that AI-powered automation of power systems could enable homes, factories, and data centers to reduce energy consumption by as much as 30% 1

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. This dual role positions AI and energy as interconnected forces shaping the future of global power management.

The French grid solutions firm's chief executive emphasized that managing demand, rather than expanding supply, holds the key to solving global power problems. "I'm absolutely convinced" the solution lies in demand management, Blum stated during a Bloomberg Television interview 1

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. This approach becomes increasingly urgent as McKinsey & Co. projects that global energy demand from data centers will nearly triple to 219 gigawatts by 2030, with AI workloads accounting for roughly 70% of that increase 1

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Energy Systems Face Critical Transformation Period

Blum acknowledged that while the potential for power savings through intelligent energy systems exists, significant work remains ahead. "We are at a turning point," he explained, noting that current technological progress represents only about 20% of what needs to be accomplished 1

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. The next two years will prove critical for advancing automation and digital technologies that can make power grids more flexible and responsive.

The rapid expansion of renewable energy capacity worldwide has created an urgent need for more intelligent management of energy systems. AI offers the capability to optimize these increasingly complex power grids, balancing supply and demand in real-time while reducing waste. This becomes particularly important as electrification accelerates across multiple sectors, from electric vehicles to heat pumps and industrial processes 2

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India Positioned to Lead Energy Intelligence Innovation

Olivier Blum highlighted India's potential to become a global leader in energy intelligence innovation, citing the country's combination of cost efficiency, exceptional engineering talent, and supportive government policies. "If you can crack the code in India, you can succeed anywhere in the world," he stated at the summit 2

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. For Schneider Electric, India represents the third-largest market globally and employs 40,000 people, including 8,000 engineers at its largest R&D centre 2

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The CEO emphasized that India possesses strong capabilities in power, automation, and digital technologies—all essential ingredients for solving complex global challenges. "The level of creativity that you can have in India, yet new system that will solve the most complex problem of the planet can be done in this country," Blum observed 2

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. As AI drives another level of pressure on energy systems through increased compute requirements, the intersection of these technologies becomes increasingly vital for sustainable growth and electricity conservation across industries worldwide.