Cities Reinvented: Where Digital Innovation Meets Urban Resilience
By 2050, the global population is projected to reach nearly 10 billion, with 68% of people living in urban environments. But as cities grow, they face increasing pressures—from extreme weather and climate change to aging grids and patchy electricity availability. Cities need more stable, future-ready infrastructure.
The growth of sectors such as data centers and semiconductors represents the future of technology. But their immense appetite for electricity presents a challenge. As this pressure builds, it not only emphasizes the need for grid reliability, but also heightens the risk of energy disruptions, posing significant operational risks for businesses that rely on continuous power.
So, how can we meet rising electricity demand without compromising on technological advancement and growth?
To be prepared for the future, we need infrastructure that’s resilient, scalable, and flexible. The key to this lies in electrification and digitalization, what we have termed Electricity 4.0. Integrating these technologies into urban infrastructure can bolster sustainability, optimize resources, and build resilience in today’s cities.
Buildings of the Future
To see what electrification and digitalization look like in action, let’s start with buildings. The technologies we need to achieve decarbonization in buildings already exist today, from AI-augmented building management systems to rooftop solar panels, heat pumps, and microgrids, all that needs to happen now is wider adoption. As well as reducing environmental impact, a lot of these technologies can generate payback within a short amount of time—some in just 3-5 years.
Take Schneider Electric’s partnership with Samwoh Corporation in Singapore. By adopting an advanced building management system and connected products, Samwoh’s headquarters managed to generate up to 50% of savings in utility costs and returned 25% of its solar-generated electricity back to the grid—setting a national benchmark for innovation and sustainability.
This example demonstrates the impact of constructing new buildings with digital energy solutions. But with 50% of buildings still standing in 2050, retrofitting existing buildings is just as important as building new, energy-efficient ones—and just as achievable. Last year, we partnered with Capgemini to launch an energy management platform that enables businesses to manage their energy performance across operations. The solution was deployed in Capgemini’s India operations, and it helped them achieve a 29% reduction in energy consumption in 2023 (versus 2019) across eight main campuses.
This is just a glimpse of how energy-efficient technologies available today are shaping the cities of tomorrow; but buildings are only one piece of the puzzle.
Strengthening Urban Infrastructure: A Multi-Faceted Approach
Global electricity demand is poised to grow by 4% each year through to 2027. This surge poses a significant challenge for power grids and entails a huge financial cost. According to the Energy Transitions Commission, an estimated US $22.5 trillion in global grid investment is needed by 2050 to achieve a net-zero transition.
Considering the cost and scale of grid upgrades, microgrids are an effective solution to support electrification, ensure reliable local energy supply, and optimize electricity costs. This is particularly useful for critical facilities like hospitals or buildings in areas that frequently experience storms and other extreme weather. Designed to operate independently or connect to the main grid, they offer flexibility and reliability that cities need to stay resilient.
The latest advancements in Battery Energy Storage System (BESS) technology have been transformative for microgrids, delivering greater capacity, efficiency, and longevity. Moreover, as these technologies become increasingly cost-effective, they not only reduce long-term energy costs but also enable the seamless integration of renewable energy sources.
A prime example of this shift is the new Terminal One microgrid at JFK International Airport. This helped transform the terminal into the first airport transit hub in the region that could function independently from the power grid, maintaining 100% of airport operations during power disruptions. The microgrid included rooftop solar and battery-energy storage, utilizing re-claimed heat to cool and heat water. It helped to reduce the airport’s greenhouse gas emissions by over 38%, compared to the grid.
This demonstrates the potential for other major airports and facilities to follow suit. We saw the impact of the power outage that hit London’s Heathrow Airport in March 2025, and the major blackouts that hit Spain and Portugal just a month after. These incidents show the growing importance of solutions like microgrids that enable airports, buildings, and factories to stay up and running during disruption.
At the heart of these technologies—enabling them to operate efficiently and respond to real-time changes—is one essential element: data.
The Power of Data: Unlocking Efficiency
Data is the lifeblood of Electricity 4.0; when it flows throughout the energy landscape, it makes the invisible visible, helping us see the energy usage in real time, and optimize it.
With IoT, AI, and advanced analytics, cities can meet the demand for energy in an efficient and sustainable way. How? By improving energy management, extending the lifespan of infrastructure through predictive maintenance and making smarter decisions in real time, based on data. These technologies not only enhance operational efficiency but also empower cities to respond swiftly to emergencies, reducing downtime and enhancing public safety.
The key to generating this precious data is digitally enabled devices. This includes essential technology such as energy meters, smart panels, switchgear, and transformers, which keep critical urban operations running smoothly. Once the data has been analyzed, not only can insights be used to support energy-saving initiatives, it can also enable automation to prevent equipment failures and improve efficiencies.
As cities evolve into smarter, more connected ecosystems, the need for robust cybersecurity becomes not just important, but essential. Every connected device and digital system creates a potential entry point for cyber threats. If these systems are not secured from the outset, the consequences of a data breach can be far-reaching and severe. To mitigate these risks, cybersecurity must be embedded into the design and development of smart infrastructure, rather than added as an afterthought. Proactive, resilient digital security strategies are key to protecting not just data, but the trust and well-being of entire communities.
A Collaborative Path to a Resilient Future
Electrification and digitalization are more than just technological advancements; they are catalysts for a more resilient urban future. However, achieving sustainable urbanization requires more than innovation alone. Policymakers, businesses, and global organizations must collaborate to accelerate the adoption of digital tools, create regulatory frameworks that support clean energy transitions, and invest in smart infrastructure solutions.
Cities are the economic engines of nations, and the foundation of our collective future. To ensure they remain vibrant, resilient, and livable for generations to come, we must invest in them today.