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Opinions expressed by digital journal contributors are unique.
When Sweden's CleanTech Company Aira announced its 150 million euro funding to accelerate electrification of residential heating, it was more than just a big win for investors. It was a signal of how technology, particularly artificial intelligence, is changing Europe's sustainability space.
“This is exactly the kind of project that shows how AI can improve sustainability and profitability,” says Axel Getz, a European entrepreneur who works at the intersection of technology and climate innovation. “It's not just hardware that makes Aira compelling. It's the way machine learning optimizes usage, predicts demand, and integrates renewable energy more efficiently than everyday life.”
AI is often hyped about its future potential, but its impact on sustainability becomes increasingly practical. Goetz points to ways to use machine learning models to predict energy demand, reduce supply chain waste, and optimize water usage in agriculture.
“People think of AI as something abstract,” he explains. “But in reality, it runs behind the scenes. It tells the grid when to store electricity, or even predicts plants that will reduce emissions, or farmers will need irrigation before they see it with their own eyes.”
Data as a new driver
The relationship between AI and sustainability is no coincidence. Driven by data. Smart meters, IoT sensors, and satellite feeds generate a huge amount of information that can reduce inefficiencies across the industry when analyzed.
Goetz considers this to be a turning point. “Sustainability was about making sacrifices. Now it's about making smarter decisions with data. And smarter decisions are usually about saving money, so investors are paying attention.”
From risk to opportunity
For years, sustainability was framed as a risk, including climate change, regulation, and marginalized assets. More and more, it is being reconstructed as an opportunity. Companies that use AI to improve environmental performance are also discovering new revenue streams.
Goetz highlights this change. “The most powerful environmental qualifications are also the most capital-rich projects. That's no coincidence. AI can help quantify impact and prove its value.
The road ahead
The challenges are growing for entrepreneurs and investors. Pilot projects and niche startups show what is possible, but it requires greater integration to create actual dents.
“The next five years will be about the transition from proof of concept to infrastructure,” Goetz concludes. “In theory, AI isn't just restructuring sustainability. It's restructuring the entire business case. The winner is someone who sees sustainability as an opportunity to lead, not as a cost.”
