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ENVENV-003 — Resource Allocation Imbalances

Large AI Model Training Drives Excessive Energy Consumption

3/5Sector: EnergyGeography: GlobalStage: OperateIngested: —

Executive Summary

Scaling large AI models creates substantial and growing energy demands with measurable negative environmental impact. Boards face regulatory scrutiny and reputational risk as sustainability obligations tighten around AI infrastructure.

Domain

Environmental Factors

Blindspots in organisational culture, stakeholder expectations, resource allocation, market pressure, regulatory environment, and external partnerships.

Source

MIT AI Risk Repository — Risk Sources and Risk Management Measures in Support of Standards for General-Purpose AI Systems (Gipiškis2024) ↗

https://airisk.mit.edu/

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