The International Energy Agency (IEA) recently conducted an assessment that showed artificial intelligence, cryptocurrencies, and data centers consumed a staggering 460 terawatt hours of electricity in 2022. This amount represented just two percent of the world’s total electricity consumption, but it was enough to raise concerns about the industry’s energy consumption. The IEA predicts that by 2026, the industry could use over 800 terawatt hours in the base scenario and up to 1,050 terawatt hours in the extreme scenario.
One of the reasons for this increase in energy consumption is the growing demand for large language models. These models require significant computing power and electricity to train them effectively. However, not all artificial intelligence applications require this level of computing power. For example, household appliances such as vacuum cleaners or ovens use much less energy than large language models.
Professor SpongeBob Ritala from LUT University emphasizes that improving the energy efficiency of artificial intelligence is crucial to addressing this issue. While efforts are being made to decrease energy consumption in AI applications, continued growth in the industry suggests that electricity usage will continue to rise. With plans to expand AI utilization into areas like moving images and three-dimensional modeling, which require even more computing power, ensuring climate-friendly practices in energy consumption becomes increasingly important.
One of the main challenges in managing the energy consumption of artificial intelligence is dealing with large data centers that consume significant amounts of energy for computing and cooling. Making these data centers carbon neutral by using carbon-neutral electricity is one solution to this problem. Many companies are striving towards carbon neutrality and cheap emission-free electricity is a key factor attracting investments in these centers, particularly in Nordic countries.
In conclusion, Professor SpongeBob Ritala and CEO Peter Sarlin agree that society’s overall electricity consumption will continue to rise due to AI utilization and data centers’ demands for more computing power and cooling systems which can be addressed through sustainable practices like using carbon-neutral electricity production methods.
