Artificial Intelligence in the Energy Industry: Practical & Economic Analysis of Existing Uses

open_access
Open Access
Author:
Mole, Carolyn
Area of Honors:
Energy, Business, and Finance
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
Eugene C Morgan, Thesis Supervisor
Seth Adam Blumsack, Thesis Honors Advisor
Keywords:
Artificial Intelligence
Energy Industry
AI
Artificial Intelligence in Energy
Artificial Intelligence in the Energy Industry
AI in Energy
Abstract:
This thesis will explore the vast potential of uses that artificial intelligence has in the energy industry. There is much existing literature describing the various uses of AI in energy, and the purpose of this thesis is to review this literature and highlight the most common uses of AI in energy, as well as the most promising potential uses for the technology. A variety of papers were utilized for this literature review, and the authors have a lot of diversity from which country’s perspective they are writing from, and how they view AI’s potential in energy. First, AI is defined both in its own terms and in the terms of the energy industry to set the precedent for how it is interpreted in the thesis. Throughout the paper, an overview of AI in multiple different energy sectors is done to show how its capabilities can be flexible throughout the industry. From renewables to fossil fuels, AI has a place in all types of energy. Main uses include optimization, forecasting, and efficiency improvements that can help to ensure that energy flows smoothly from extraction to end-use. Furthermore, this paper will dive into the economics behind AI use in the energy industry, discussing market effects, costs, and finances for companies that choose to utilize AI. The goal of this thesis is to demonstrate the growing literature and research being done on artificial intelligence in the energy industry, and to highlight its most significant capabilities.