The AI Act: Shaping Europe's Digital Future and Transforming the Energy Sector

The EU's AI Act introduces a risk-based framework for AI, mandating requirements for high-risk systems and enforcing compliance. It addresses AI's potential in energy optimization, while emphasizing fundamental rights, safety, and a human-centric approach, with the IEA highlighting AI's role in achieving sustainability goals.

Directive (EU) 2023/1791 mandates a minimum 11.7% energy reduction by 2030, with specific targets for sectors and Member States. Emphasizing public sector efficiency, building renovations, and consumer empowerment, it sets a framework for sustainable energy use and addresses energy poverty, providing measures for enforcement and financing.

Energy audits are becoming vital for SMEs in Europe, offering detailed analysis of energy usage and efficiency, highlighting cost-saving measures. They notably influence investment decisions in energy-efficient technologies, with smaller firms and innovative companies benefitting the most. However, financial constraints remain a barrier to implementing energy-saving opportunities.

SMEs overlook 10-30% energy savings due to incomplete audits and complex consumption patterns. Adopting EMS offers cost reduction, improved productivity, regulatory compliance, and enhanced reputation. Barriers such as perceived costs, resource constraints, and lack of commitment hinder EMS implementation. Technology aids effective energy management, with smart meters and IoT enabling real-time data tracking. Best practices include starting with energy audits, setting reduction goals, and engaging employees. Successful EMS adoption in SMEs contributes to carbon emission reduction and energy transition goals, aligning with EU support for SME recovery and innovation.

The paper discusses the critical role of energy efficiency in food production, emphasizing the need for food manufacturers to adopt energy management practices to remain competitive and sustainable. It outlines the benefits of benchmarking and KPIs, the adoption of frameworks like ISO 50001, and the utilization of advanced monitoring, control systems, and ICT for improved energy performance. It also addresses barriers to implementation and strategies for overcoming these challenges.

SMEs, at 98.9% of European businesses, collectively account for 13% of energy demand, presenting significant energy efficiency potential. Barriers include financial constraints and lack of energy management. Supportive policies and tailored programs can incentivize efficiency improvements, leveraging SMEs' key role in reaching the EU's energy goals.

The survey of European industries on energy efficiency reveals high concerns for energy costs, positive attitudes towards exceeding environmental standards, yet a notable gap in adopting recommended energy-saving measures due to factors like cost, complexity, and management decision-making.

CircularPSP, a Horizon Europe-funded project, unites eight cities to transition to a Circular Economy, addressing sustainability by investing €5.64 million in R&D. It fosters municipal innovation through AI, collaboration, a follower network, and hosts events discussing circularity challenges and solutions.

The paper addresses the EU's transition to electric vehicles (EVs) as key in decarbonizing transport sector emissions, crucial to achieving 2040 climate targets. The EV ecosystem involves various stakeholders, including OEMs, CPOs, and DSOs, working together towards electrification. Policies like RED, AFIR, EPBD, and the Sustainable Battery Regulation support this shift, while investment in EV infrastructure is projected to significantly increase. Data sharing is emphasized as essential for ecosystem efficiency.