Energy firms struggle to scale AI beyond isolated experiments

Energy firms struggle to scale AI beyond isolated experiments

Amy Richards
Amy Richards•
• 2 Min.
Line graph showing U.S. electric energy consumption trends from 2021 to 2022 with accompanying explanatory text.

Energy firms struggle to scale AI beyond isolated experiments

Energy companies are shifting their approach to artificial intelligence, moving from small-scale trials to full integration. Many firms have experimented with AI for years, but only a few have managed to embed it deeply into their operations. The challenge now is turning isolated projects into enterprise-wide systems that deliver measurable results.

Just 7% of energy organisations have successfully scaled AI across their entire business. Even among industry leaders, only a third of major AI initiatives reach full implementation. A key obstacle is weak alignment between AI projects and core business strategy—21% of energy leaders cite this as their biggest barrier to value.

Some companies, however, are making progress. Aramco has operationalised AI at scale, applying it across drilling, refining, and emissions reduction. In 2024, the firm reported $1.8 billion in value from AI-driven technologies. Yet broader success remains rare. A 2026 Roland Berger study found that 90% of over 200 surveyed companies—across sectors—saw returns fall short of their AI investments. The struggle to scale stems from outdated structures. Most upstream operators still rely on management systems built for an era of slow, limited data. AI requires a different model—one centred on rapid decision-making, clear governance, and redefined roles. Companies that treat AI as a core capability, woven into workflows and assets, see systematic productivity gains. To move forward, firms must focus on five areas: leading with clear value targets, retraining staff for AI-driven roles, building a digital foundation, ensuring responsible AI use, and continuously refining processes. The shift also depends on measurable outcomes, spreading AI skills across teams, and adapting to economic pressures. Japanese firms stand out for strong governance and value tracking, though no energy-specific examples have emerged as global benchmarks. The next phase demands deliberate effort—reworking funding, skills, and decision-making to make AI a permanent part of operations.

The transition from AI experimentation to full-scale adoption is accelerating, but concrete successes remain limited. Firms like Aramco demonstrate the potential, yet most energy companies still face structural and strategic hurdles. Scaling AI will require more than technology—it needs fundamental changes in how businesses operate and measure progress.