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In the latest episode of our Energy Transition Talks series, CGI Global Industry Lead for Health and Life Sciences Ben Goldberg joins Peter Warren to discuss the interdependence between healthcare and energy systems, emphasizing the need for a balanced approach to ensure a healthy society. Specifically, they examine the interplay between ecosystems and supply chains, the emergence of smart, “green hospitals,” and how data innovation and digital twins are driving sustainable, resilient healthcare.

Digital twins and “triplets” in healthcare

While hospitals play a vital role in healthcare, they often contribute significantly to emissions due to aging infrastructure and inefficient buildings. For example, Ben points out that many hospitals have been around for decades, and while some modernization efforts have been made, they are still not energy friendly. This, he says, is an opportunity for new technologies to enter the mix.

Notably, digital twins—which create digital representation of physical assets—have gained traction in healthcare. Moving beyond just monitoring energy consumption, digital twins offer compelling use cases, such as providing visibility into the patient journey and help address outcomes. As Ben highlights, the ability to mirror the physical world digitally through digital twins has numerous facets and opportunities within the healthcare sector.

Sharing a term coined by Diane Gutiw, a leader in AI and digital twins at CGI, Peter raises the use cases for “digital triplets,” referring to using three interconnected digital twins:

1. A twin modeling the patient’s health and wellbeing
2. A twin modeling the operations of the healthcare facility itself (energy use, HVAC systems, etc.)
3. A third twin analyzing the causes and effects between the first two twins.

This model allows for optimizing not just patient care, but the facility's energy efficiency and sustainability as well. For example, Ben and Peter discuss the fact that "green hospitals" are being built globally to produce their own electricity and hydrogen fuel, while using digital twins to intelligently control heating, cooling, lighting, and more based on patient occupancy levels.

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In part two of the Energy Transition Talks discussion between Eurelectric’s Head of Energy Policy, Climate and Sustainability Paul Wilczek and CGI expert Peter Warren, they turn their focus to the opportunities and challenges of localized energy production, the role AI and new technologies play in balancing decentralized power grids and the long-term benefits of decarbonizing and electrifying the energy sector.

The renewable energy surge in Europe

Localized energy production and renewable energy is increasing, as energy and security of fossil fuels coming from more volatile regions face increased disruption and costs. Referencing various studies, projections and European Commission publications, Paul indicates that the deployment of renewable energy sources—particularly solar photovoltaic (PV) and onshore/offshore wind power—is expected to experience a massive surge in Europe across all scenarios.

As Paul explains, this rapid growth in localized renewable energy production offers several advantages:

· Homegrown electricity production: Europe will have a significant portion of its electricity generated domestically, reducing dependence on imports from potentially unreliable foreign partners, thereby enhancing energy security and supply reliability.

· Decarbonization: Renewable energy sources like solar and wind are carbon-free, contributing to the decarbonization of Europe's electricity sector.

· Price predictability: Domestically produced renewable energy can provide more predictable and stable power prices, reducing volatility associated with imported energy sources.

At the same time, he points out, the projected surge in renewable energy deployment presents challenges too: such rapid growth also necessitates addressing the challenges of variability and the need for substantial investments.

The role of AI and new technologies in managing the energy system efficiently

While traditional energy generation like hydroelectric power will continue to play a role, Peter says, the major shift towards renewable but volatile sources like wind and solar impacts not just the volume of energy produced, but also the frequency and grid balancing when the sun shines or wind blows. New technologies, he suggests, will play a supporting role in transitioning to distributed energy resources (DER) production.

Paul agrees, suggesting that a decade ago, few predicted the current dominance of wind and solar energy. Technologies like biomass and geothermal were expected to have a bigger role. However, the plummeting costs of wind and solar have made them the clear winners for now.

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In this first of two episodes for our Energy Transition Talks series, Eurelectric’s Head of Energy Policy, Climate and Sustainability Paul Wilczek joins Peter Warren to examine the intrinsic link between decarbonization and electrification, plus the consequent opportunities shaping the energy landscape. They discuss the need for grid investment and modernization, how transparent information helps bridge gaps between governments and public opinion, upfront costs versus long-term benefits of electrification and how reforming energy taxation and billing can shape the future of electrified communities.

Decarbonization and electrification: A pivotal shift

By 2040, Europe aims to have a largely decarbonized power sector, paving the way for the widespread adoption of electrification across various sectors. According to Paul, this transition not only promotes energy efficiency but also offers significant environmental benefits. As he shares, electrified systems, such as heat pumps for residential heating, can use “just two-thirds of the primary energy” required by traditional gas-based heating systems, resulting in substantial energy savings. Peter indicates that a shift is happening in North America as well, citing the current U.S. government’s incentives for heat pumps.

Despite the increasing adoption of electric vehicles (EVs), heat pumps and other electrified technologies, the overall electrification rate in Europe remains stagnant at around 22-23%. This is surprising, Paul point says, as the growing number of electrified processes and users would indicate the rate would rise.

The primary focus has been on decarbonizing the power sector, with efforts to transition to renewable and clean energy sources. However, Paul reveals, the remaining 78% of energy consumption across other sectors has been largely overlooked. Electrification presents an effective solution for further decarbonization, as the electricity grid becomes increasingly green and decarbonized.

According to projections from the European Commission, electrification is expected to account for 35% of final energy demand by 2030, rising to 50% by 2040, and potentially reaching 60-70% by 2050.

The transformation of transportation

The transport sector is undergoing a profound transformation, with the phase-out of combustion engine vehicles playing a pivotal role. This transition is driven by policy initiatives, technological advancements, and a collective commitment to reducing carbon emissions and embracing sustainable energy solutions.

Within the next 20 years, Paul estimates that very few combustion engine cars will remain on the roads. This shift is driven by the European Union's ban on combustion engines in cars, paving the way for electric and hybrid vehicles to dominate the personal transportation market. While some heavy-duty vehicles may still rely on hybrid technologies, the family vehicle of the future is expected to be predominantly electric.

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