In the last 15 years, significant exogenous shocks (GFC, Covid, 2022 energy crisis) and a slower-than-expected electrification process have impacted energy demand. As a result, since 2008, electricity consumption has cumulatively decreased by 10%.

It is estimated that in the next 10 years, energy demand could exceed +50% for two main reasons: the rapid expansion of data centers, which are essentially physical structures that host servers used for AI technologies, and the launch of the REPowerEU plan to reduce energy dependence on imported fossil fuels.

In this process, the role of Smart Grids, intelligent networks that, thanks to the use of modern digital technology, are able to acquire new functionalities, will be fundamental to:

  • Increase the resilience and security of electrical networks;
  • Improve outage management;
  • Promote more efficient energy management.

Check out the market analysis for the month of June by Lorenzo Fuscà, Head of Wealth Management, and Stefania Cardone, Investment Advisory at Banca Profilo.