From Efficiency to Sustainability: Examining the Paradox of Digitalization of Energy

In today’s world, characterized by growing energy consumption, depletion of nonrenewable energy resources, and increasing risk to energy services, attaining sustainable energy is critical. The increasing use of information technologies, also known as digitalization, has led to fundamental transformations in energy systems. Digitalization enhances the stability of energy systems, enables the integration of power generation with end users, reduces peak demand, speeds up energy supply restoration after disruption, reduces operating expenses, and facilitates the integration of renewables into energy systems. Thus, the digitalization of energy can contribute to achieving many of the United Nations’ Sustainable Development Goals, particularly Goal 7, “Affordable and clean energy.” While the potential benefits of such digitalization are widely recognized, its challenges, especially those impacting sustainable development, are less frequently discussed in academic literature. The study aims to analyze the implementations and benefits of digital technologies across various aspects of the energy industry. It specifically discusses the impact of the digitalization of energy on achieving Sustainable Development Goals, highlighting the benefits and challenges it can bring.