Artificial intelligence could help the UAE reduce its overall energy use by more than 30 per cent, freeing up more power for the country’s AI economy, Minister of Energy and Infrastructure Suhail Al Mazrouei said.
Speaking on Monday at Abu Dhabi Finance Week, Mr Al Mazrouei said AI had been used to manage cooling, lighting and energy flows at federal buildings including schools and hospitals. Those initiatives had led to a reduction in electricity and water consumption of between 28 per cent and 30 per cent.
“I am not talking in a small scale. It's scalable to a city, to a country,” he said. “Are we doing it? Would AI help us save that 30 per cent or more? Yes, it will.”
Electricity demand in the Middle East and North Africa has tripled since 2000 and is set to increase by 50 per cent by 2035, as rapid population growth, urbanisation and industrial expansion drive up consumption, the International Energy Agency said in a report in September.
The UAE is accelerating its investment in data centres and high-performance computing to position the country as a global hub for AI. While the energy-intensive technology is expected to lead to a surge in electricity demand, officials say smarter energy management could help offset much of that increase.
“I can tell you that we, as humans, are not that efficient,” Mr Al Mazrouei said. If a country’s total consumption is cut by 30 per cent, that capacity becomes available to meet the needs of AI and future industries, he added.
The UAE this year also launched a $6 billion project that combines 5 gigawatts of solar capacity with 19 gigawatt hours of battery storage to provide round-the-clock 1 gigawatt of renewable energy.
Mr Al Mazrouei said the dual approach of generating renewable energy while using AI to reduce consumption places the UAE ahead of global competitors. He added that many countries are not investing enough in efficiency, instead upgrading old grids or modernising their energy systems. The world is not doing enough to reduce the “inefficient and uneconomical side” of power generation, he said. “That is money that is burnt every day for a long time. If that money is captured, we can do lots of things.”
He emphasised that the use of renewables is increasing alongside hydrocarbons, rather than replacing them, with AI emerging as a key tool to manage demand and unlock new supplies. “Those who don't invest in AI, in my view, they will be behind,” he added.
On the prospect of regional rivalry in the AI space, the minister said the GCC remains “friends” and “brothers” who often invest together. After years of regional strains, competition that draws talent and capital is “very good news” for the bloc and benefits other economies, he added.
