Policy Brief

Managing the AI–Energy Nexus: G20 Policy Priorities for the Twin Transition

The rapid advancement of artificial intelligence (AI) presents both transformative opportunities and significant environmental challenges, particularly concerning energy consumption and carbon emissions. This policy brief proposes that the G20 play a leading role in managing the AI– energy nexus through a strategic twin transition agenda that aligns digital transformation with sustainability.

It recommends three targeted actions: (1) establish a G20 Task Force on AI–Energy Synergies to coordinate global policies, empower clean energy integration in AI development, and redefine AI success metrics to include sustainability and energy efficiency; (2) launch an AI–Energy Twin Transition Fund to support energy-efficient AI innovation and equitable green infrastructure; and (3) develop common global metrics for AI energy use and carbon emissions, modelled on the Task Force on Climate-related Financial Disclosures. By combining coordinated governance, targeted financing, and transparent reporting, this framework aims to support better coordination between AI growth and concerns over rising fossil fuel emissions – ensuring technological progress aligns with planetary boundaries.

1 Oct 2025

Task Force

Keywords

Artificial Intelligence (AI)carbon emission

Author/s

Jean Dong
Harvard Kennedy School
(United States)
Cobus van Staden
The China-Global South Project
(South Africa)