Canadian CEOs Embrace AI as Key Tool for Decarbonization
As the devastating effects of climate change continue to impact businesses around the world, Canadian CEOs are increasingly turning to artificial intelligence (AI) as a crucial tool for decarbonization. A recent report by KPMG International reveals that three-quarters of Canadian business leaders believe that natural disasters and extreme weather events will hinder their organization’s prosperity over the next three years.
The urgency to address climate change has never been greater, especially in the wake of the worst forest fire season in Canada’s history. The costs of these disasters are still being assessed, but the impact on lives, livelihoods, and the economy is undeniable. With climate disasters becoming the new norm, Canadian CEOs are recognizing the need to take action.
One of the complex challenges faced by Canadian businesses is developing climate adaptation and resilience plans. To reduce emissions and combat climate change, governments and stakeholders are mandating that companies take proactive measures. AI is emerging as a powerful tool in this endeavor.
AI has the unique ability to process vast amounts of complex and unstructured data, providing interpretations and predictions that aid in reducing carbon footprints. It enables companies to make informed decisions in transitioning to lower carbon operations. AI algorithms analyze emissions data across a company’s value chain, predicting future outputs under various scenarios. This information empowers organizations to prioritize decarbonization and achieve better outcomes.
To fully harness the potential of AI, two key elements must be considered: maintaining high-quality data and continuously improving AI models for accurate predictions. By understanding their emissions profile, companies can track emissions in real-time and identify areas for improvement to prioritize decarbonization. AI also facilitates knowledge sharing and analysis of available energy alternatives through generative AI.
It is crucial to choose responsible AI that considers its own carbon contributions. While there is no one-size-fits-all solution, AI plays an essential role in mitigating climate change. Time is of the essence, and companies must take advantage of AI’s capabilities to accelerate the transition to a lower carbon future.
As Canadian CEOs embrace AI as a crucial tool for decarbonization, the hope is to mitigate the effects of climate change and create a more sustainable future. The integration of AI technology will enable businesses to make informed decisions, reduce emissions, and contribute to a greener economy. With the seriousness of climate change increasing every day, embracing AI is a step in the right direction for Canadian businesses.
