As artificial intelligence boosts global electricity demand from data centers and increasingly transforms how the energy sector works, the International Energy Agency (IEA) has launched a new Energy and AI Observatory to closely monitor and analyze the interconnections between the energy sector and this fast-evolving technology.
The observatory includes new interactive tools to explore data center electricity consumption and digital infrastructure by region, helping visualize these valuable data sets and ensure they are accessible to a wide range of stakeholders. It also features 20 case studies that show how artificial intelligence (AI) is being deployed across the energy sector, following a public call for submissions that showcase current best practices.
Its release follows the publication in April of an IEA special report, Energy and AI, which offers a comprehensive global analysis on the topic. Drawing on new data sets and consultation with policy makers, the tech sector, the energy industry, and international experts, the report finds that the effect of AI on the energy landscape could be transformative. Electricity demand from AI-optimized data centers is projected to more than quadruple by 2030; at the same time, AI is already being deployed in the energy industry, unlocking opportunities to cut costs, enhance competitiveness, and reduce emissions.
The observatory was first announced by IEA Executive Director Fatih Birol at the AI Action Summit hosted by French President Emmanuel Macron and Indian Prime Minister Narendra Modi in February 2025. It aims to inform national and international policymaking on energy and AI topics, including ongoing conversations between government and industry organized by Canada’s G7 presidency.
“The IEA is at the forefront of efforts to understand and manage the significant links between energy and artificial intelligence, which is quickly emerging as one of the most important technologies of our time,” Birol said. “Building on our recent major report on this subject, this new Energy and AI Observatory, developed in consultation with a wide range of partners, underscores our commitment to supporting decision makers around the world as they plan for the future. Reliable data and analysis are the cornerstone of navigating this fast-moving space.”