The Energy Sector's Upcoming Era: Ways Shell Utilizes Artificial Intelligence to Remodel the Energy Industry
The energy sector is at a critical juncture in history. With the globe confronting the urgent need to decrease emissions while satisfying escalating energy demands, artificial intelligence (AI) is proving to be a potent ally in this transformation. Shell, with its century-long history in energy production, is spearheading the effort to utilize AI to reform traditional operations and invent innovative energy solutions.
"AI is not a magic wand, but it is a tool that can aid us in accelerating energy transition and reducing CO2 emissions," explains Dan Jeavons, VP of Digital Innovation at Shell. This pragmatic yet ambitious perspective is already generating impressive outcomes across various fronts.
Astonishing Speed in Scientific Calculations
One of the most remarkable advancements in Shell's AI journey has been the significant boost in the speed of scientific computations. Cooperating with NVIDIA, Shell has achieved something unimaginable a few years ago: conducting intricate energy calculations up to a million times faster than conventional methods.
Marc Spieler, Senior Managing Director at NVIDIA, provides insight into this breakthrough: "The capacity to simulate thousands or millions of years, which usually takes years to simulate and process in traditional high-performance computing methods... enables us to truly examine how we'll handle the substantial emissions emerging from everything."
For instance, Shell has developed AI machine learning models that can analyze carbon dioxide storage in subsurface reservoirs approximately 100,000 times faster than conventional physics-based simulations. This groundbreaking discovery allows them to expedite evaluations of various geologies, injection rates, and pressures for carbon capture and storage projects in the screening stage - a crucial component of achieving net-zero objectives.
Transition from Idea to Reality
Shell is pushing the borders of AI past simulations into practical applications. Their Visual Remote Sensing (VERS) program employs geospatial AI to draw insights from remote-sensing and satellite data, aiding in the identification of biofuels and streamlining clean energy investments.
The company has also implemented advanced machine vision systems across its operations, utilizing NVIDIA technology to monitor equipment status, detect emissions, and boost safety. These systems even operate at the edge, employing AI to guarantee workers are wearing appropriate safety equipment in real time, even in areas with limited internet connectivity.
Democratizing AI across the Organization
Shell isn't just focused on high-end AI applications. The company has developed a robust framework for making AI accessible to its workforce, empowering thousands of employees to develop their own AI solutions. This "citizen development" program operates within a well-organized system that balances innovation with security and compliance.
At the core of this initiative is a sophisticated zoning system that categorizes AI applications based on their risk and complexity. "We have this notion of zoning where certain things, certain data types, certain applications... can be declared a 'green zone' application, and we permit people to develop simpler or low-risk applications with relatively minimal oversight," explains Jeavons. More sensitive applications fall into 'amber' and 'red zones', requiring additional management and expertise.
The results are evident, with numerous thousands of users now actively engaged in AI development across the organization. Shell has cultivated an active AI community of more than 12,000 members, supported by an extensive "Digital Skills" program accessible to virtually every employee. "The individuals who comprehend the issues of the energy sector aren't necessarily individuals like me," Jeavons notes. "It's actually the people on the front line with the issue. And one of the things that we want to do is empower those people to resolve those issues using AI."
The Grid of the Future
Perhaps one of the most intriguing uses of AI is in redesigning the power grid. As we shift from centralized power plants to a distributed network of renewable energy resources, the complexity of managing the grid increases exponentially.
"In the future, because of solar battery walls, EVs, wind, and everything else, we have a grid and an energy world where power is going to be generated very distributed, and it's going to be stored and supplied as needed," explains Spieler. This transformation from approximately 8,000 power plants to millions of energy sources and storage points necessitates sophisticated AI systems to manage effectively.
Crafting Tomorrow's Energy Landscape
Shell's AI initiatives extend beyond operational enhancements to fundamental research in areas like carbon capture and storage, biofuels, and electric vehicle infrastructure. The company is using AI-powered geospatial analysis to optimize the placement of EV charging stations and identify new sources of biofuel from crops and waste products.
The company is also revolutionizing its research capabilities, employing generative AI and large language models to make several decades of accumulated scientific knowledge more accessible. This strategy promises to drastically reduce R&D cycle times, enabling researchers to create smarter experiments and make faster progress in developing clean energy solutions.
A particularly innovative application involves data centers, which Jeavons describes as "energy hubs" of the future. "Data centers are going to become energy hubs... Companies like NVIDIA, but also many of the major cloud providers have shown a strong interest in decarbonizing data centers. And I think that can serve as a catalyst to accelerate electrification within the broader energy sector."
The Path Ahead
The energy transition represents one of the most challenging – yet promising – endeavors of our time. Through its strategic deployment of AI, Shell is demonstrating how traditional energy companies can change to meet the demands of an evolving world. As these technologies continue to develop, they promise to expedite the development of cleaner, more efficient energy solutions while optimizing existing infrastructure for a more sustainable future.
- Shell's collaboration with NVIDIA has led to a remarkable breakthrough in energy calculations, allowing for complex simulations up to a million times faster than conventional methods, thanks to advanced visual remote sensing technology.
- In an effort to democratize AI within the organization, Shell has created a "citizen development" framework, enabling thousands of employees to develop their own AI solutions, boosting innovation and ensuring compliance.
- With the increasing complexity of managing the power grid as we transition from centralized energy sources to a distributed network of renewable energy resources, AI will play a crucial role in optimizing its operations and ensuring an efficient, sustainable future.
