The rise of artificial intelligence is prompting some countries to postpone their energy transition plans, given the AI industry’s economic potential, experts have warned.
During a session at Dubai AI Week, entitled AI’s Energy Future: Strategies for Sustainability, the soaring energy demand of AI tools was highlighted, with Zaid Al Ansari, executive director at the Electric Power Research Institute (EPRI), commenting “When you run a simple Google search through a model like ChatGPT, it consumes around ten times more energy than a traditional search.
“Some countries are extending the lifespan of fossil fuel plants just to meet AI-related energy needs, while others are holding back on their renewable transition goals to remain competitive in the AI race.”
Data centres
Echoing his comments, Mansour Belhadj, general manager at Microsoft, noted that by next year, around 60% of the energy used by global data centres will be driven by the execution of AI.
“By 2026, data centres are projected to consume between 600 and 690 terawatt-hours of power,” he commented.
Dubai, where the discussion was held, is aiming to establish data centres powered entirely by renewable energy by 2033, and Dr Mounir Boukadidi, regional director, Oracle Energy & Water MEA, noted that the UAE has a strategic advantage when it comes to integrating said centres with renewable energy sources.
“The UAE generates approximately 166 terawatt-hours (TWh), while consuming around 158 TWh,” he said. “This opens a major opportunity for regional energy trading – particularly for powering AI infrastructure.”
Read more: Powering a sustainable future with artificial intelligence
AI and the workforce
Other sessions addressed the development of AI ‘avatars’ and the associated impact on digital identity, as well as the role that agentic AI will play in reshaping the workforce.
“It’s not about replacement, it’s about redeployment,” as Microsoft’s Mostafa Sallam noted. “Organisational culture will define how we adapt.”
Dubai AI Week took place from 21-15 April, and welcomed global experts, entrepreneurs, policymakers, regulators, investors, and innovators to the UAE to discuss ways to ‘shape the future of artificial intelligence in service of humanity’. Read more here.


