Research

2025 Energy & Utilities Industry Outlook

5 key trends shaping energy and utilities in 2025

December 04, 2024

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Energy & Utilities Trends in 2025

Load Growth and Transmission and Distribution System Needs
Unprecedented load increases driven by AI demand and data center growth are pushing utilities to upgrade grid capacity and reliability.
Enhancing Safety and Reliability
Utilities must address aging infrastructure and renewable energy challenges while maintaining safety and reliability under financial pressures.
Championing Energy Affordability
Balancing grid investments and rising costs is essential to keeping energy affordable amid the low-carbon transition and equity concerns.
Integrating AI into Utility Operations
AI and machine learning will be key to optimizing efficiency and controlling costs during the clean energy transition.
Fortifying Cybersecurity for Resilient Infrastructure
Proactive security measures are critical to protecting interconnected utility systems from evolving cyber and geopolitical threats.

Preparing for a Resilient Energy Future in 2025

In 2025, the energy and utilities industry faces both familiar priorities and new uncertainties. With a shift to a new presidential administration, regulatory changes that shape infrastructure investments and decarbonization efforts could be on the horizon.

Leading the industry’s challenges is the immense surge in load demand driven by AI, data centers, and widespread electrification. Meeting this demand calls for utilities to strengthen grid resilience while keeping energy affordable and advancing clean energy goals. The landscape is also becoming more competitive, as independent providers move to serve new market needs.

After over 30 years in this industry, I’m energized by the progress we’re making—especially as we deepen collaboration to tackle evolving challenges. This outlook delivers practical steps and strategies to help industry leaders drive a resilient, reliable, and inclusive energy future. Together, we can create a grid that withstands political shifts and meets the needs of a rapidly evolving sector. - Paul A. DeCotis, Senior Partner