AI's Role in Fighting Climate Change: Potential and Challenges

Artificial intelligence (AI) is poised to play a pivotal role in combating climate change, particularly within the power, transport, and food sectors, which together account for approximately half of global greenhouse gas emissions. A recent study published in npj Climate Action on June 23, 2025, estimates that by 2035, AI applications in these sectors could reduce emissions by 3.2 to 5.4 billion tonnes of CO₂ equivalent annually. This reduction is projected to surpass the emissions generated by AI technologies and data centers themselves.

The study, conducted by researchers from the Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Systemiq, identifies five key areas where AI can drive emissions reductions:

1. Transforming Complex Systems: AI can optimize interconnected systems like power grids and transportation networks, enhancing efficiency and reducing emissions.

2. Innovating Technology Discovery and Resource Efficiency: AI accelerates the development of new technologies and improves resource utilization, leading to lower emissions.

3. Influencing Behavioral Change: AI-driven tools can promote sustainable behaviors among individuals and organizations.

4. Modeling Climate Systems and Policy Interventions: AI enhances climate modeling and aids in designing effective policies.

5. Managing Resilience and Adaptation: AI supports strategies to adapt to and mitigate climate change impacts.

In the power sector, AI can improve grid management and increase the economic value of renewable energy sources. For instance, Google's DeepMind has demonstrated that AI applications can enhance the economic value of wind energy by 20% by reducing reliance on standby power sources.

In the food sector, AI can enhance the adoption of alternative proteins, reducing emissions from traditional meat production. DeepMind's AlphaFold model has helped researchers predict the structure of millions of proteins, accelerating the development of lab-grown meat and other sustainable food sources.

In the transport sector, AI can optimize electric vehicle infrastructure and promote shared transportation, leading to lower emissions. AI-driven tools can analyze vast amounts of data to predict optimal locations for charging stations and improve route planning for electric vehicles.

Nicholas Stern, Chair of the Grantham Research Institute, emphasized the transformative potential of AI in emerging and developing economies, stating, "Artificial Intelligence holds transformative potential to accelerate the climate transition in emerging and developing economies – helping to unlock investment, reduce risk, and leapfrog outdated infrastructure – yet realizing this promise requires targeted public investment, shared data and equitable access to AI capabilities to ensure no country is left behind in the net-zero transition."

Mattia Romani, Partner at Systemiq, highlighted the importance of collaboration, noting, "Our research shows that with the right collaboration – between governments, tech companies, and energy providers – AI can be harnessed to accelerate climate action, not hinder it. By intentionally directing AI towards clean growth, adaptation, and resilience, we can ensure it delivers real benefits for people and the planet."

The integration of AI into climate strategies presents both opportunities and challenges. On the positive side, AI-driven innovations can stimulate sustainable economic development, create new industries and roles focusing on AI and sustainability, and assist developing nations in leapfrogging to cleaner technologies.

However, challenges remain. AI technologies and data centers consume significant energy, potentially offsetting some emission reductions. The use of AI necessitates careful handling of sensitive information, and ensuring equitable access to AI technologies is crucial to prevent widening global inequalities.

The study underscores AI's significant potential in mitigating climate change, particularly in high-emission sectors. Realizing this potential requires strategic application, proactive policy-making, and international collaboration to ensure that AI contributes positively to global climate goals.