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Home»Latest News»AI And ESG: The Butterfly Effect In Tech And Sustainability
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AI And ESG: The Butterfly Effect In Tech And Sustainability

The butterfly effect, as he put it, is real - and it is up to us to guide it towards a sustainable future.
Gugu LourieBy Gugu Lourie2024-10-07No Comments5 Mins Read
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Kagiso Modise, Executive: Technology Lifecycle Management & NMS Operations at Openserve
Kagiso Modise, Executive: Technology Lifecycle Management & NMS Operations at Openserve
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Kagiso Modise, Executive: Technology Lifecycle Management & NMS Operations at Openserve brought the intersection of artificial intelligence (AI) and Environmental, Social, and Governance (ESG) principles into sharp focus.

He was speaking at the at the Southern Africa Telecommunication Networks and Applications Conference (SATNAC) at Skukuza Rest Camp in the Kruger National Park.

Modise emphasised how AI can be harnessed to drive sustainability efforts globally while navigating the delicate balance between resource use and environmental responsibility.

His speech emphasised the critical role technology must play in addressing the world’s most pressing challenges, from climate change to social inequality.

The butterfly effect: AI, ESG, and Sustainability

At the core of Modise’s message was the concept of the “butterfly effect” in relation to ESG.

He explained that the intersection of human, physical, and informational realms forms the basis for understanding how we manage the planet’s finite resources.

“We have resources that we need to keep at bay, or else the resources are going to run out. That is why it’s important for us to find that happy medium, called the butterfly. Today, we need to get to that butterfly,” said Modise.

He used the metaphor to illustrate the delicate balance necessary to sustain life on Earth and how AI can facilitate this through more intelligent and efficient use of resources.

He delved into the origins of the ESG framework, which gained prominence following the 2015 Paris Agreement when nations worldwide committed to limiting the increase in global temperatures.

ESG, Modise noted, aims to integrate environmental, social, and governance considerations into business practices to ensure long-term market stability and societal wellbeing. The framework, according to him, is a powerful tool for aligning business operations with the need to combat global warming, reduce inequality, and improve governance structures.

AI’s role in ESG and sustainable development goals

Modise articulated the vast potential of AI across the three pillars of ESG – environmental, social, and governance.

He cited numerous examples of AI contributing to sustainability, from optimising energy usage and waste management to facilitating social inclusion through AI-driven education and healthcare.

In terms of environmental impact, AI plays a crucial role in addressing climate change by managing energy consumption more effectively. For instance, smart grids and energy-efficient data centres are being developed with AI to lower carbon emissions.

Modise explained that Openserve, as a network operator, faces the challenge of increasing energy demand as AI applications proliferate.

“The dawn of AI is resulting in a surge in energy demand, which we have no idea how to deal with at this point in time,” he said, emphasising the need for AI models that are not only more efficient but also capable of integrating renewable energy sources.

On the social front, AI can improve access to essential services such as education and healthcare, particularly in underserved communities.

Modise referenced Telkom CEO Serame Taukobong’s advocacy for using AI to support sustainable cities and affordable energy solutions. He illustrated how AI can diagnose patients in regions with doctor shortages, customise learning for students, and even help mitigate natural disasters by predicting them and optimising the use of resources in response.

AI and governance: ensuring ethical and sustainable progress

AI’s potential in governance lies in its ability to enhance corporate oversight and regulatory compliance.

Modise discussed how AI could streamline decision-making processes, ensuring businesses operate within ethical guidelines while achieving sustainability goals. He also touched on the importance of AI in improving the transparency and efficiency of corporate governance.

Modise recognised the concerns surrounding AI’s rapid advancement, particularly the fear of machines surpassing human intelligence and potentially displacing jobs.

However, he emphasised that the focus should be on how AI can complement human labour, not replace it.

“AI is changing the way we work, and we, at Openserve, embrace that – not just in the way it displaces certain jobs but also in the transformation of how we do business,” he said.

Openserve has already begun implementing AI-powered tools to enhance customer service and network operations, such as the Openserve Connect and Tech apps, which allow for more efficient problem-solving and customer interaction.

AI’s Energy Demands and the Future

Modise was candid about the challenges of AI’s increasing energy consumption.

He explained that while AI offers significant benefits, its growing demand for power must be addressed to prevent exacerbating the very environmental issues it seeks to solve.

Companies like Openserve are actively exploring solutions to this, from optimising AI models for energy efficiency to investing in alternative energy sources like nuclear power.

He concluded by highlighting the importance of striking a balance between AI’s advantages and its environmental footprint.

“Sustainability with AI is not just good business,” he said, “it is the business of the future.” Openserve’s success in aligning its AI initiatives with sustainable practices, from energy management to workforce transformation, underscores the possibility of leveraging AI for both environmental sustainability and economic growth.

By integrating AI into energy, social, and governance frameworks, businesses can not only address the urgent global challenges posed by climate change and inequality but also ensure long-term market stability and growth.

However, as Modise cautioned, the path forward requires careful management of AI’s energy demands and an ongoing commitment to aligning technology with sustainable business practices.

The butterfly effect, as he put it, is real – and it is up to us to guide it towards a sustainable future.

AI AI and ESG ESG Kagiso Modise Openserve SATNAC Telkom
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