Continuous renewal for an ever-changing world
The UK’s Critical National Infrastructure (CNI) faces mounting challenges from climate change, geopolitical instability, and escalating energy demands. Recent disruptions in Spain and Portugal highlight the vulnerability of energy grids to extreme weather. To remain resilient, the energy sector must modernize rapidly, transitioning to smarter, more efficient systems while engaging citizens in the process. This transformation requires not just technological innovation but also shifts in policy and behavior.
Much of the UK’s energy infrastructure remains rooted in legacy systems, some dating back as far as the 1960s. These outdated networks struggle with inflexibility, making it difficult to integrate renewable energy sources efficiently. A key issue is the lack of storage capacity. Despite generating significant renewable energy, the UK often wastes excess power because it cannot be stored. Instead, gas stations are activated to meet shortfalls. This keeps the UK reliant on volatile international gas markets and makes it harder for us to move towards our net zero targets.
The £16 billion Great Grid Upgrade focused on strengthening and modernizing the electricity network by embedding IoT sensors and edge computing. These smart grids are revolutionizing energy distribution by leveraging data. These systems enable real-time fault detection, demand forecasting and automated responses to fluctuations in supply. For example, after a costly power outage at Heathrow, discussions emerged about deploying AI-enhanced CCTV with smoke and fire detection to prevent future incidents. Such technology could be extended with IoT temperature and moisture monitoring sensors in substations, triggering cooling mechanisms before overheating becomes critical.
Digital twins, virtual replicas of physical infrastructure, are another tech solution proving transformative in planning and maintenance. Project Triton, which we developed in partnership with National Grid, streamlined electricity network planning by consolidating fragmented data into a single visual interface and providing a virtual replica of the existing UK electricity network. What once took 20 years to assess now takes just two, saving an estimated £4.3 million annually in productivity costs.
AI and edge computing further enhance grid intelligence by analyzing consumption patterns and optimizing energy distribution. Octopus Energy has pioneered demand-shifting incentives, encouraging users to consume electricity during off-peak hours through financial rewards. Similar principles could be applied at an industrial scale, with AI dynamically balancing loads to prevent grid strain.
Beyond residential applications, enterprises are exploring ways to minimize energy waste from devices. A prototype application developed in collaboration with Atos allows businesses to monitor and remotely manage laptop charging, automatically switching off power when batteries are sufficiently charged. Early estimates suggest that scaling this across 60% of the UK’s workforce could save energy equivalent to powering multiple major cities.
Policy changes must complement consumer efforts. Introducing energy-saving education in schools, enforcing corporate energy accountability, and expanding financial incentives for off-peak usage could collectively shift consumption patterns.
Securing the future
As national infrastructure undergoes rapid digitization, robust data protection frameworks have become mission critical.
The energy sector’s transition to smart grids and IoT-enabled systems creates both opportunities and vulnerabilities, with operational technology (OT) networks now intersecting with IT systems in unprecedented ways. This convergence demands a sophisticated approach to data sovereignty that balances security with operational flexibility.
Hybrid cloud architectures are emerging as an optimal solution, enabling operators to maintain direct control over sensitive operational data, such as real-time grid telemetry and critical control systems, within on-premises environments while leveraging cloud scalability for analytics and customer-facing applications. This segmentation ensures compliance with evolving regulations like the UK's Network and Information Systems (NIS) Directive while enabling data-driven decision making.
The security model must extend beyond traditional perimeter defenses. Zero-trust architectures provide continuous verification at every access point, requiring multi-factor authentication, device health checks and least-privilege access controls even for internal users. When combined with AI-powered anomaly detection that monitors for unusual data access patterns, this creates a dynamic defense system capable of identifying sophisticated threats like supply chain attacks or credential compromise.
For cross-border data flows, particularly in projects like interconnector management with European partners, encryption and data residency controls become essential. Emerging confidential computing techniques that process encrypted data without decryption offer particular promise for maintaining security in shared cloud environments. Regular penetration testing should validate these protections, ensuring resilience against both cyber criminals and state-sponsored threats targeting critical infrastructure.
This layered approach addresses the need for real-time data sharing to enable smart grid functionality, while maintaining ironclad protections for systems that keep the lights on. Cybersecurity must be embedded in infrastructure design from the outset, not bolted on as an afterthought.
AI, collaboration and circular infrastructure
Looking ahead, AI-driven grid optimization and developments like quantum computing could further enhance energy management. Equally important is fostering collaboration across the sector. Currently, energy providers operate in silos, duplicating efforts and delaying progress. Standardizing data-sharing practices would accelerate innovation.
Another emerging trend is circular infrastructure, where hardware is remanufactured rather than replaced. Pilot projects have shown that refurbished IT equipment can reduce CO2 emissions by up to 95%, offering a sustainable alternative for modernizing operational systems.
The UK’s energy infrastructure must evolve swiftly to meet future demands. By integrating advanced technologies, incentivizing smarter consumption, and prioritizing cybersecurity, the country can build a resilient, sustainable grid. Collaboration between government, industry, and consumers will be pivotal. Continuous renewal is an imperative for national stability.
