The global power sector is undergoing a significant transformation, driven by digitalization, automation, and artificial intelligence (AI). Among the most impactful innovations are digital twins—virtual replicas of physical power plant assets that enable real-time monitoring, predictive maintenance, and operational optimization. Coupled with AI, digital twins are revolutionizing power generation by enhancing efficiency, reducing downtime, and minimizing maintenance costs.
In the coming years, AI-driven digital twins will become indispensable in the power sector, ensuring smarter, more reliable, and sustainable energy generation. Power plants that embrace these innovations will gain a competitive edge in efficiency, cost reduction, and environmental compliance.
The integration of Artificial Intelligence (AI) and digital twin technology is transforming power generation, enabling predictive maintenance and optimization of assets. This synergy enhances efficiency, reduces downtime, and offers significant economic benefits across various countries.
Global Market Growth
The global digital twin market is experiencing rapid expansion. Valued at approximately €16.55 billion in 2024, it is projected to reach €242.11 billion by 2032, reflecting a compound annual growth rate (CAGR) of 39.8%.
United States
In the U.S., companies are actively adopting AI and digital twins to enhance power plant operations. For instance, BP has extended its partnership with Palantir to utilize AI for expediting engineers’ decision-making processes, aiming to improve operational performance across various locations, including the Khazzan gasfields in Oman and offshore platforms in the North Sea and the Gulf of Mexico.
India
India is also embracing digital twin technology to maintain grid stability. During a national event on April 5, 2020, the Power System Operation Corporation (POSOCO), supported by GE Digital’s Advanced Energy Management System, successfully managed a 31-gigawatt drop and recovery in power demand, showcasing the effectiveness of digital twins in grid management.
China
Chinese industries are leveraging digital twins to optimize manufacturing processes. Shanghai Automobile Gear Works (SAGW) implemented GE Digital’s Proficy Plant Applications to create a “Process Digital Twin,” resulting in a 20% improvement in equipment utilization and a 40% reduction in inspection costs.
Switzerland
Swiss company Akselos provides digital twin solutions for energy infrastructures, enhancing design, maintenance, and reliability. Their technology allows for high-fidelity simulations, enabling predictive maintenance and extending the lifespan of critical assets.