The AI Revolution and the Role of Renewables in Powering Our Future

The AI Revolution and the Role of Renewables in Powering Our Future

The world is in its 4th industrial revolution. And it’s shaping up to be the biggest one yet. Bigger even than the original industrial Revolution in the late 1700’s and early 1800’s when water and steam power was used to aid mechanical production. It was a revolution because everything changed.?

Now in 2025, we’re seeing a similar change occurring within technology and the automation of complex tasks. Automation that is revolutionizing almost every industry across the globe. AI has helped agriculture increase crop yields and reduce waste. It’s automating marketing tasks with ease. And we’re seeing cars that drive themselves.

AI is remodeling the way we work. And that’s why the UK Government’s recently announced "AI ramp-up" plan has sparked both excitement and debate. And I could talk about all the implications until the cows come home. But today I’m just going to focus on the country’s readiness to meet AI’s soaring energy demands - it’s at the forefront of all our minds, right?


How much energy is AI sucking up?

In case you didn’t know, AI is an energy hog. It’s slurping up energy that could leave electricity grids sparse. A study conducted in 2024 by Dr Sasha Luccioni of Hugging Face, a leading machine learning company, uncovered that AI systems use around 33 times more energy than machines running specialised software.

To put that into perspective a general Google search uses about 0.3 watt-hours of electricity. But a typical search through Chat GPT uses 2.9 watt-hours of electricity. That’s nearly 10x more energy consumption.

A Chat GPT search uses nearly 10x more electricity than a typical Google Search

Going back to the UK Government’s "AI ramp-up" plan, one of the most persistent criticisms revolves around the cost of electricity in the UK. Electricity costs in the UK are significantly higher than in the USA and other nations. In fact, according to Switchcraft.co.uk, the average cost of electricity in America is 13.9p compared to 22.9p in the UK. Considerably higher on this side of the pond. But why is this??

Critics often lay the blame on renewables, but can renewable energy really be causing such a large discrepancy in electricity costs in the UK? I think not…


The Real Culprit of Soaring Electricity Prices

More people are pointing to the UK’s locational pricing model in the energy sector as the main driver of high electricity costs.

In most nations electricity prices are standardised across regions. But in the UK different costs based on the location of generation and consumption are assigned. This system disproportionately affects renewable energy generators and doesn’t reflect the declining costs of renewable technologies. But it should.

A reform of this locational pricing model would unlock further potential for cost savings and a more equitable energy landscape.


Renewables are the Key to AI’s Energy Needs

Whilst many argue against renewables as a solution to the rising demand for electricity, it takes only looking at its advantages to see that these arguments fall flat. Compared to typical energy production:

?

  • Renewables are faster to Deploy: The protracted timeline of projects like Hinkley Point C illustrates the inefficiency of traditional energy generation methods. What started as a 5-year build has transformed into 10 years. In the time it has taken to build one nuclear power station, the UK could have installed gigawatts of solar energy alongside other renewables.

Let’s prove that statement. It will have taken Hinkley Point C 10 years to construct and will have an average annual output of 62,333,333kWh. The average household solar installation produces 3,740kWh per year. That’s the equivalent of 16,666 installations over 10 years which is only 4.5 residential installations per day to produce the same amount of energy. And as a domestic solar installation takes on average 1-3 days, it just makes more sense to install more renewables. Think about it - there are over 4,000 registered solar installers in the UK. If each one did 5 installations we’d be producing the same amount of energy in just 15 days.

  • Return on Investment: Renewables achieve a rapid ROI compared to fossil fuels or nuclear energy, making them an attractive option for both private and public investment.

  • Cost Efficiency: The cost of solar panels and other renewable components has plummeted in recent years. And as costs have reduced the efficiency and reliability of installations have increased.

  • Mature Supply Chain: The renewable energy sector’s supply chain is now robust, with ample stock, competitive pricing, and a wealth of expertise ensuring a seamless transition from planning to execution.


Now is a Moment of Opportunity

AI’s energy demands present a monumental opportunity for the renewables sector to lead the way. As the world expands capacity to power AI-driven innovations, we must also ensure the sustainability and affordability of energy sources.?

This is what fires us up at Callidus Wholesale. We believe in being part of this transformative moment. And we’re committed to empowering installers and industry professionals to meet these challenges head-on.?


Investing in Skills and the Future

Our commitment goes beyond supplying products. We’re actively involved in training the next generation of installers. Equipping installers with the knowledge and skills they need to thrive in a renewable-powered future is paramount to success.?

We recently collaborated with Mark Allison to help students learn about renewable energy systems and installation techniques. We provided free products to educational institutions to fuel the learning quality and aid in training the next generation of installers. These initiatives ensure the industry has a skilled workforce ready to meet growing demand that the 4th industrial revolution is bringing.


Is Now the Right Time to Get Involved?

The AI revolution is here. And it’s demanding reliable, scalable, and sustainable energy solutions. There has never been a more critical time to get involved in renewables. Because renewables offer the speed, cost-effectiveness, and environmental responsibility needed to meet these demands.?

As the industry matures, now is the time for installers to seize the opportunity to be part of this unprecedented transformation. We don’t know exactly where it’s going, but we can play a large part in the journey of energy production needed to get there. Isn’t that exciting?


How to Get Involved

At Callidus Wholesale, we’re here to support installers with

  • Easy access to quality solar products
  • Training to help them succeed and prepare for the future
  • A talented team of technical experts?

Get a trade account with us today and join the forefront of this exciting era in energy and technology. Setup is simple - it’s just one simple form to get instant access to competitive wholesale prices, easy order tracking and exclusive news & discounts.

Open your trade account by visiting https://www.calliduswholesale.co.uk/account-signup/ or reach out to us direct to learn more about how we can support your business.

Matthew Pierce

Sustainable growth for your business - Cross-functional Team Leadership · Leadership · Renewable Energy ? Energy Management ? Environmental Practitioner ? Project Management ? Sustainability

1 个月

What about using Ai to automate decisions so you save more money on Solar PV and battery storage installations? Got to be a great opportunity for Ai

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