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Perspectives

Articles

Agentic AI in Energy and Utilities: From Insights to Autonomous Actions

Read | Dec 04, 2025

AUTHOR(s)

Nikhil Desai

Senior Director – Analytics, Energy & Utilities

Key Points

  • The energy and utilities sector is facing unprecedented operational complexity, rising regulatory expectations and intensifying pressure to modernize grids while maintaining trust, transparency and resilience.
  • This article outlines how Agentic AI can shift utilities from insight-led decisions to autonomous action through self-healing grids, automated workflows, real-time orchestration and a tiered governance model that embeds oversight, auditability and responsible AI guardrails.
  • The broader opportunity is a future-ready utility ecosystem where intelligent, adaptive infrastructure works in tandem with human supervision, enabling proactive operations, regulatory confidence and a path to sustainable, grid-wide transformation.

Imagine a utility control system that spots an equipment anomaly before it triggers an outage. Within seconds, it creates a work order in the Enterprise Resource Platform (ERP), dispatches a nearby field crew, re-routes the load to stabilize supply and sends customers a proactive message about restoration timelines – all autonomously and transparently.

Or picture a compliance engine that pulls evidence from multiple data sources, formats it for the Office of Gas and Electricity Market’s (Ofgem’s) reporting template and flags any potential regulatory gaps before a human even reviews it.

This is not a distant future. It is the emerging reality of Agentic AI, which is transforming Energy and Utilities (E&U) through autonomous, goal-driven systems that analyze data and act on it in real-time. By 2027, 40 percent of utility control rooms are expected to deploy Artificial Intelligence (AI)-driven operators, signaling a fundamental shift in how utilities operate.1 With this shift comes a critical responsibility to ensure autonomy remains accountable, auditable and aligned with consumer trust.

The Agentic AI Imperative in Utilities: Why Now

The business case for Agentic AI is driven by three converging realities.

1. Operational Complexity

Operational Complexity

Aging infrastructure, renewable integration, electric-vehicle loads and unpredictable weather events demand 24×7 adaptability. Traditional analytics can identify risks but not act on them. Agentic AI provides the missing execution layer, enabling self-optimizing grid operations and preventive maintenance.

2. Customer and Regulatory Expectations

Operational Complexity

Consumers now expect proactive and transparent service. Regulators mandate fairness, explainability and resilience. Agentic AI can deliver self-healing grids, automated billing correction and audit-ready workflows, enhancing both trust and compliance.

3. Value Realization and Competitiveness

Operational Complexity

Organizations deploying autonomous agents are already realizing measurable value. A recent AI agent survey found that 55 percent of adopters reported faster decision-making, 57 percent saw cost savings and 66 percent noted productivity gains.2 For utilities, this translates to improved reliability indices, reduced service costs and faster progress toward net zero commitments.

For enterprise leaders, the question is no longer whether to adopt Agentic AI, but how to scale it safely, responsibly and profitably.

Real-world Impact: Agentic AI Use Cases

Early deployments show how autonomous agents can re-shape critical utility functions.

Billing and Collections

Operational Complexity

Agents analyze consumption and payment data, predict delinquency and automatically trigger personalized outreach through digital channels. They can negotiate flexible repayment schedules, adjust billing systems and record every interaction for audit. The result: lower cost-to-serve, improved cash flow and higher customer satisfaction.

Grid and Outage Management

Operational Complexity

Using SCADA (Supervisory Control and Data Acquisition) and IoT feeds, agents identify anomalies, prioritize field repairs, co-ordinate crew schedules and issue customer notifications in real-time. Utilities deploying such models can expect significant reductions in Mean Time to Repair (MTTR) and improvements in reliability indices such as SAIDI (System Average Interruption Duration Index) and SAIFI (System Average Interruption Frequency Index).

Customer Experience

Operational Complexity

Agentic AI moves beyond chatbots. It monitors usage patterns, detects anomalies like over-consumption, proposes tariff changes or inspections and completes follow-up actions. By resolving issues end-to-end, utilities increase first-contact resolution and build proactive engagement.

Responsible Autonomy: Balancing Intelligence with Oversight

As E&U firms begin deploying autonomous agents at scale, they must ground its use in rigorous governance, full transparency and robust control. Autonomous workflows are not simply “set-and-forget” systems; they demand disciplined oversight for ethical, compliant and reliable operations.

Why Oversight Matters

Utilities operate in critical-infrastructure domains. They carry obligations for public safety, regulatory fairness, grid reliability and consumer trust. When autonomous agents take on tasks such as dispatching field crews, issuing billing adjustments or re-balancing loads, they must operate within clear guardrails.

Without them, the risks become tangible:

Infographic-01

As autonomy scales, governance must become real-time, data-driven and embedded, with humans holding final accountability.

Tiered Autonomy and Governance Structure

Aligning risk, human oversight and regulatory engagement demands a tiered autonomy model. A practical ladder offers five levels:

Infographic-02

This maturity model provides a roadmap for safely scaling autonomy – ensuring that as the autonomy level increases, so too do oversight mechanisms, human-in-theloop checkpoints, auditability and regulatory engagement.

Core Governance Components

Drawing from industry guidance and practitioner frameworks, the following governance layers are foundational for Agentic AI in utilities.

Infographic-03

Together, these layers form the infrastructure of responsible autonomy, ensuring that as agents grow more capable they remain within defined boundaries of trust, safety and control.

Embedding Responsible AI Principles

As utilities adopt Agentic AI across billing, grid operations and customer engagement, each layer of the architecture needs to be built on responsible AI principles to ensure fairness, transparency and resilience. Leading frameworks emphasize aspects, such as:

Infographic-04

In practice, responsible AI in utilities means building autonomous systems that serve the public good – systems that protect consumers, uphold regulatory integrity and strengthen infrastructure resilience.

Enabling Secure, Scalable Agentic AI

Governance and engineering must proceed in tandem. As utilities transition from assistive co-pilots to autonomous agents, measurable outcomes and trusted oversight must be built in from day one. Tailored governance frameworks aligned with domain-specific imperatives, human-in-loop checkpoints, real-time dashboards and performance monitoring will be vital to scaling responsibly.

The Future of Utilities: Intelligent, Adaptive Energy Systems

The E&U industry stands at the threshold of its most transformative time. Traditionally focused on reliability alone, the mission for utilities has evolved into a mandate to modernize grids, transition to clean energy and deliver resilient, intelligent infrastructure for an era of rising demand, accelerating climate change and digitally empowered consumers.

The future of utilities will depend on how well systems can adapt and self-correct in real-time. Enabled by Agentic AI ecosystems, these self-healing systems will form the core of tomorrow’s grid: continuously sensing, analyzing and responding to fluctuations across generation, transmission and consumption.

From Insight to Autonomy

AI-enabled orchestration is moving utilities beyond predictive maintenance toward continuous self-optimization. Instead of identifying issues for engineers to address, these systems can isolate faults, re-route power and restore service autonomously, often before customers are even aware of a disruption.

At a structural level, this evolution reflects a broader movement toward grid modernization – a digital re-invention of infrastructure originally designed for one-way power flow. As renewables and Distributed Energy Resources (DER) proliferate, utilities are embracing intelligent, decentralized networks that weave together IoT sensors, advanced telemetry, cloud computing and machine learning. The result is a data-rich grid that delivers reliability, resilience, adaptability and transparency.

Human Ingenuity + Artificial Intelligence: The HI+AI Synergy

In this evolving system, the role of humans becomes more strategic. Future workforces will shift from executing operational tasks to orchestrating autonomous ecosystems. Employees will act as “AI supervisors,” guiding decision frameworks, validating outcomes and ensuring that systems operate within ethical and regulatory guardrails.

The fixed, hierarchical operating models of the past are giving way to data-driven, agile practices where human expertise and AI co-create value. Utilities cannot modernize technology without also modernizing mindsets. Embedding human oversight at every stage, from algorithmic design to compliance monitoring, ensures that AI augments rather than alienates the workforce.

Building the Path to Responsible Autonomy

Utilities that act early will gain first-mover advantage by shaping regulatory standards, building customer trust and capturing efficiency gains ahead of the curve. Achieving this, however, requires disciplined investment in data infrastructure, control architectures and governance frameworks. AI can deliver benefits like reduced downtime, smarter asset utilization and predictive energy balancing, but only when coupled with explainable models, immutable audit trails and continuous risk monitoring.

Governments and regulators are already enabling thistrajectory. Incentives for grid modernization, clean energy integration and digital resilience are accelerating pilots that test autonomous restoration, AI-based voltage control and real-time grid orchestration. Such initiatives are paving the way for a new class of intelligent utilities that thrive in complexity. Firms that can harness it responsibly will transform from reactive service providers into proactive, resilient and customer-centric enterprises.

The age of autonomous utilities has begun, and those who balance innovation with governance will set the benchmark for the industry’s next chapter. Talk to our experts to explore how Agentic AI can transform your operations and lead the era of autonomous, intelligent utilities.

References

  1. Gartner Predicts AI Adoption

  2. AI agent survey: PwC