EU-Korea Green Partnership highlights the integral role of Artificial Intelligence in achieving a sustainable energy future

At the World Climate Industry Expo (WCE), which was held in Busan from 27-29 August 2025, the Delegation of the European Union to the Republic of Korea convened a high-level seminar on “AI & Energy: Delivering EU and Korea’s Digital and Green Ambitions”. 

The seminar, organized in the framework of the EU-Korea Green Partnership, generated strong interest among government officials, industry leaders and academic experts, underscoring the transformative potential of artificial intelligence (AI) in advancing clean energy initiatives.

The event was very timely, as AI is not only revolutionizing whole industries but also contributing to an important increase in energy consumption. According to the International Energy Agency, data centres accounted for approximately 1.5% of global electricity usage (415 TWh) in 2024, with projections to surpass 945 TWh by 2030. The dual role of AI as both a substantial energy consumer and a potent tool for optimizing energy utilisation was a focal point of the discussions.

In her remarks, Ditte Juul Jørgensen, Director-General for Energy of the European Commission, underscored the importance of collaborative efforts, stating “I hope that the European Union and Korea can seize this moment to deepen our bilateral partnership, by aligning research, innovation and policy efforts. We can lead the way in shaping a future where digital innovation drives clean, secure and affordable energy”.

Mika Nykänen, State Secretary of Finland, and Michel Heijdra, Vice Minister of Climate Policy and Green Growth of the Netherlands, likewise stressed the importance of working together within Team Europe and with Korea to turn the potential of AI into practical solutions. They underlined AI’s role as a strategic tool for the competitiveness of businesses.

Rosalinde van der Vlies, Director at the Directorate-General for Energy of the European Commission, highlighted EU policies and future initiatives related to data centres. Currently, data centres account for approximately 3% of total electricity consumption across the EU. Their geographical concentration can pose challenges to local energy grids and complicate the achievement of climate targets, land usage considerations, and energy affordability.

To address these pressing challenges, the EU's 2020 digital strategy aims to attain climate neutrality for data centres by 2030. The recently adopted 2023 EU Energy Efficiency Directive mandates that data centres disclose their energy usage, water consumption, and the extent of renewable energy adoption. The Cloud and AI Development Act, expected in the coming months, will aim to triple EU data centre capacity within the next five to seven years, while the 'Strategic roadmap for digitalisation and AI for the energy sector', planned for early 2026, will address the energy impacts with a system-wide approach.

On the Korean side, representatives from the Korea Institute of Science & Technology Evaluation and Planning (KISTEP) and the Korea Institute of Energy Research (KIER) emphasised how the surge of AI infrastructure is simultaneously reshaping Korea’s electricity policy and industrial landscape.

By 2038, the total energy demand of Korean data centres is expected to rise to approximately 6.2 GW, a threefold increase from 2024 levels. The Ministry of Science and ICT (MSIT) is addressing the spiking demand with an AI computing initiative, while the Ministry of Trade, Industry, and Energy (MOTIE) is advancing the implementation of the 11^th Basic Plan for Electricity Supply and Demand. 

As noted by Sun-kyo Kim, Research Fellow at KISTEP, “2025 is a pivot year with multiple AI–energy measures entering into force, reinforcing AI leadership and energy security as twin national priorities”. Echoing this, representatives from Korea Electric Power Data Network (KEPCO KDN), and the think-tank Solutions for Our Climate (SFOC), underlined that a successful transition will hinge on overcoming Korea’s pressing challenge of ensuring a sufficient supply of clean electricity.

From the industry side, leaders from Ørsted Korea and Siemens Korea, expressed a balanced perspective, recognising the significant potential AI presents for optimising the integration of renewable energy while simultaneously acknowledging the need for stronger policy frameworks.

Looking forward, the seminar indicated opportunities for collaboration between the EU and Korea, including joint research and development initiatives, further exchanges on policy frameworks, and new industry partnerships aimed at advancing clean energy integration and digital infrastructure.