The conversation around artificial intelligence (AI) and digital transformation in the energy sector is no longer a matter of technological luxury or distant planning. According to the International Energy Agency (IEA) in its World Energy Investment 2025 report, global energy investment is expected to reach USD 3.3 trillion this year, of which USD 2.2 trillion is allocated to clean technologies, renewables, storage, smart grids, and energy efficiency. These figures mark a historic turning point: clean electricity has become the dominant global pathway. Yet the same report warns of a worrying gap in grid funding, with current spending at just USD 400 billion annually, far below the level required to accommodate the rapid expansion of clean generation and the integration of increasing renewable capacity [1].
Globally, the energy sector is undergoing a qualitative leap in digital transformation, driven by AI applications, the rollout of smart meters, advanced grid management platforms, and innovative storage solutions. Operational decisions in generation plants, transmission, and distribution networks now rely more than ever on big data analytics and predictive models. Key current applications of AI in the power sector include:
- Load and peak demand forecasting with high accuracy, reducing reliance on costly peaking units and improving maintenance scheduling.
- Predictive maintenance for transformers and HV/MV substations, detecting vulnerabilities before failures occur.
- Enhanced renewable integration through short-term wind and solar generation forecasting, paired with optimized storage operation to mitigate output fluctuations.
- Smart grid management to reduce technical losses, improve customer satisfaction, enable remote meter reading, and provide real-time billing.
- Optimized EV charging station operations via intelligent load distribution, preventing overloading during peak hours.
- Market monitoring to detect non-competitive behavior early, ensuring transparency and fair competition.
Global Trends and Key Figures (2024–2025)
By the end of 2024, total installed renewable capacity worldwide reached 4,448 GW, accounting for 46% of global installed power capacity, including 1,865 GW solar and 1,133 GW wind [2]. In the transport sector, BloombergNEF forecasts sales of 22 million plug-in EVs in 2025, up 25% from 2024, placing additional pressure on grids and requiring advanced charging solutions [3]. Regionally, Middle Eastern countries are moving quickly to integrate storage, develop EV charging infrastructure, and showcase battery innovations and flexible grid solutions at major international energy events. Other highlights:
- Global energy investment in 2025: USD 3.3 trillion, with USD 2.2 trillion for clean energy [1].
- Annual grid investment remains around USD 400 billion, a shortfall that threatens optimal grid operation and limits renewable utilization unless addressed before the early 2030s [1].
Cybersecurity Challenges for Smart Grids
The more digitized the grid becomes, the higher its exposure to cyber threats. In 2024, utility companies (power and water) experienced a 70% increase in cyberattacks compared to the same period in 2023. The North American Electric Reliability Corporation (NERC) reported that the number of cyber and physical vulnerabilities in the U.S. power grid rose to 23,000–24,000 in 2023, up from 21,000–22,000 in 2022 [4,5]. In response, Europe introduced its first Network Code on Cybersecurity for the power sector in 2024, harmonizing risk management and resilience measures across interconnected grids, alongside ENTSO-E recommendations following a major Southeast Europe cyber incident in June 2024 [6]. On the standards side, IEC 62351 remains the global benchmark for securing control protocols and operational systems. The dual challenge is clear: protect infrastructure from breaches while ensuring operational continuity even if part of the grid is compromised.
Power Sector Jobs… New Roles and Evolving Skills
he employment landscape in the energy sector is evolving at an unprecedented pace. Today’s demand extends beyond engineers and technicians to include data analysis experts, control system security specialists, and engineers proficient in the concepts and requirements of smart grids.
According to IMARC Group, the global smart grid market was valued at USD 73.3 billion in 2024 and is expected to reach USD 269.5 billion by 2033, with a compound annual growth rate of 15.6% [7]. The smart grid analytics market grew from USD 7.5 billion in 2022 to USD 8.1 billion in 2024 and is projected to reach USD 13.5 billion by 2034 [8]. Cybersecurity has also become a central pillar in this transformation, with the smart grid cybersecurity market valued at USD 7.99 billion in 2024 and forecast to nearly double to USD 19.06 billion by 2032 [9]. Parallel to this is a major rise in the Edge AI market for grids, expected to grow from USD 18.9 billion in 2025 to USD 141.4 billion by 2034, which is around 25.1% [10]. These figures highlight a growing need for new specializations that go beyond the traditional roles of electrical engineers and technicians, creating unprecedented career opportunities and reshaping the job market for the years ahead. The demand centers on:
- Experts in AI and data analytics to operate load forecasting systems and optimize grid performance.
- Cybersecurity specialists to protect industrial control systems and SCADA networks from digital threats.
- Engineers skilled in smart grid technologies, from smart metering to demand flexibility management.
- Professionals in integrating energy storage and EV charging systems with renewable energy sources.
- EV infrastructure experts in charging systems, demand management, and grid integration.
To meet these needs, universities must adopt educational programs that integrate modern technical skills into their curricula through digital laboratories, cybersecurity incident response training, and smart grid operation simulations. For Arab universities aiming to produce globally competitive graduates, it is essential to create learning environments that replicate industrial realities, embedding AI, cybersecurity, and smart energy management into the core of education. The transformation of electrical networks today goes beyond technology; it is redefining the entire employment landscape. Those who adapt now, whether individuals or educational institutions, will secure their place at the lead of a smarter, safer, and more sustainable energy sector.
By: Dr Feras Alasali, Expert in Renewable Energy and Smart Grids
Associate Professor, Department of Electrical Engineering – The Hashemite University, Zarqa, Jordan.
E-mail: ferasasali@hu.edu.jo