AI agents operating Britain’s energy system explored in UK vision

The scenario envisages advanced AI being “embedded across multiple energy system functions simultaneously”, with the government inviting views from industry and others on what it would mean for system design and governance – including for the rules by which such a system would be operated, the role of people in providing oversight, and for where accountability and liability should sit.

The government said the scenario is just “one of several plausible futures” that it is examining as it considers how AI might deliver “longer-term transformative change” to Britain’s energy system.

“In this future, the energy system largely runs itself,” the government said. “AI is embedded across forecasting, control, markets, planning and end-use, as well as innovation and system design, forming a continuously learning system. Rather than people making decisions in sequence to plan, build, operate, then trade, AI agents representing every asset on the system coordinate continuously, responding to changing conditions in real-time. A human operator today might manually curtail a wind farm during network congestion.”

“In this future, AI agents across generation, storage and demand would coordinate automatically to resolve the constraint before it occurs. Central to this is a fully autonomous optimisation layer drawing on live data from the grid, weather, assets and markets. By running simulations across timescales, from milliseconds to decades, it anticipates faults and continuously rebalances power across networks, storage, distributed energy resources and flexible demand,” it added.

This look into what the future holds was detailed in a new government paper in which it called on industry and other stakeholders to help it shape the government’s vision for an AI-enabled clean energy system.

As well as looking at the longer term, the government has asked businesses to share where they see existing barriers to near-term adoption of AI in the energy system. The government cited six examples itself, including current market structures, regulatory incentives and procurement models, which it said “do not always support investment in AI”. Data silos, regulation, technical systems integration, as well as skills and culture and challenges around managing risks and building trust in AI were also referenced.

The government said it will “consider where action could help strengthen UK competitive advantage and develop capabilities with international relevance and replicability” and said its approach to supporting AI adoption in the energy system will be shaped by three high-level principles: lowering bills for households and businesses; increasing the efficiency of the system and support decarbonisation; and ensuring energy security.

Speaking at Pinsent Masons’ ‘Inside the Energy Transition’ event on 10 September, energy expert Gareth Phillips of Pinsent Masons said: “The opportunities for AI to manage, optimise and protect our networks in the UK are exciting. The government’s consultation comes at a time when our own market research demonstrates a clear investor appetite for AI technologies, alongside other clean tech. The innovators and venture capitalists are keen to move debate into action.”

Martin McCluskey, UK government minister for local energy and jobs, said: “AI could enable renewable power sources, electric vehicles, heat pumps, batteries and smart appliances to work together more effectively. It could help us identify faults before they happen, forecast demand more accurately, make better investment decisions and accelerate the development of new energy technologies. If we move quickly, it could also create opportunities for British businesses to develop solutions here and export them around the world.”

“We’re looking to understand where AI can make the greatest difference, the barriers that are preventing progress, and where government action is needed. This requires a collaboration across government, industry and the wider energy sector, and the potential rewards are great. By acting now, we can ensure that AI makes energy more affordable, creates good jobs, and supports a cleaner, more secure energy system that benefits communities across Britain,” he added.

AI-related disruption was also foreshadowed for UK financial services in a review undertaken by Financial Conduct Authority executive director Sheldon Mills earlier this year.