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Being Accountable is Smart: Navigating the Technical and Regulatory Landscape of AI-based Services for Power Grid

Anna Volkova, Mahdieh Hatamian, Alina Anapyanova, Hermann de Meer

TL;DR

The paper addresses regulatory gaps in deploying AI-based services within power grids by proposing a sector-specific, quantifiable notion of accountability. It analyzes the EU AI Act, identifies its limitations for smart-grid safety components, and argues for a delegated act that prescribes lifecycle-driven accountability and risk quantification. A concrete definition of an accountable smart-grid service is derived, linking development decisions, responsible parties, and auditable data across planning, deployment, and operation. The proposed framework aims to enable regulated, trustworthy AI-enabled smart-grid innovations with explicit risk mitigation and clearer delineation of stakeholder responsibilities, thereby balancing safety with innovation in critical infrastructure.

Abstract

The emergence of artificial intelligence and digitization of the power grid introduced numerous effective application scenarios for AI-based services for the smart grid. Nevertheless, adopting AI in critical infrastructures presents challenges due to unclear regulations and lacking risk quantification techniques. Regulated and accountable approaches for integrating AI-based services into the smart grid could accelerate the adoption of innovative methods in daily practices and address society's general safety concerns. This paper contributes to this objective by defining accountability and highlighting its importance for AI-based services in the energy sector. It underlines the current shortcomings of the AI Act and proposes an approach to address these issues in a potential delegated act. The proposed technical approach for developing and operating accountable AI-based smart grid services allows for assessing different service life cycle phases and identifying related accountability risks.

Being Accountable is Smart: Navigating the Technical and Regulatory Landscape of AI-based Services for Power Grid

TL;DR

The paper addresses regulatory gaps in deploying AI-based services within power grids by proposing a sector-specific, quantifiable notion of accountability. It analyzes the EU AI Act, identifies its limitations for smart-grid safety components, and argues for a delegated act that prescribes lifecycle-driven accountability and risk quantification. A concrete definition of an accountable smart-grid service is derived, linking development decisions, responsible parties, and auditable data across planning, deployment, and operation. The proposed framework aims to enable regulated, trustworthy AI-enabled smart-grid innovations with explicit risk mitigation and clearer delineation of stakeholder responsibilities, thereby balancing safety with innovation in critical infrastructure.

Abstract

The emergence of artificial intelligence and digitization of the power grid introduced numerous effective application scenarios for AI-based services for the smart grid. Nevertheless, adopting AI in critical infrastructures presents challenges due to unclear regulations and lacking risk quantification techniques. Regulated and accountable approaches for integrating AI-based services into the smart grid could accelerate the adoption of innovative methods in daily practices and address society's general safety concerns. This paper contributes to this objective by defining accountability and highlighting its importance for AI-based services in the energy sector. It underlines the current shortcomings of the AI Act and proposes an approach to address these issues in a potential delegated act. The proposed technical approach for developing and operating accountable AI-based smart grid services allows for assessing different service life cycle phases and identifying related accountability risks.
Paper Structure (15 sections, 1 figure, 5 tables)