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Sustainability in the Age of AI: Andrea Korney's Insights on Reducing the Tech Carbon Footprint

December 5, 2024
Reactor
10 min

Andrea Korney, Vice President of Sustainability and Special Advisor for J.S. Held’s ESG & EHS Digital Solutions group, has been at the forefront of sustainability for over 25 years. Her extensive career in the energy, metals, and extraction industries has uniquely positioned her to navigate the evolving landscape of environmental responsibility and technology. In a recent interview, Korney shared her perspective on the intersection of artificial intelligence (AI) and sustainability, a topic of increasing relevance as businesses integrate AI technologies while being held to higher sustainability standards.

Andrea Korney’s Industry-Spanning Background

Korney’s path to becoming a leader in sustainability is deeply rooted in her experience in various industries, particularly in oil and gas, power generation, and heavy metals. “My career began in energy at a time when sustainability wasn’t part of the coreconversation,” she recalls. Korney learned how to navigate complex regulatory environments while advocating for more responsible business practices. “Working in oil and gas, you couldn’t avoid the environmental side,” she says, noting that from early on, she became deeply involved in ensuring that her projects complied with emerging emissions and environmental standards. Providing leadership, strategic planning, and business development support to corporations, she has developed strong alliances with trade associations, diversity organizations, tribes, and unions. Her contributions to supplier diversity and Native American engagement in energy led to recognition by Bloomberg’s Sustainability Index in 2017. Ms. Korney is an active panelist and diversity advocate, contributing to many articles and authoring sustainability whitepapers. Her commitment to North American equitable economic development is evidenced by her participation on the advisory committee for the Supplier Diversity Advisory Council, energy advisory to the Latino Coalition, and Canadian, Aboriginal, Minority Supplier Council (CAMSC) board membership.

With a background in environmental science, Korney’s expertise covers technical areas like emissions reduction, water treatment, and hazardous materials management. Her career took her across the globe, from pipeline projects in the Middle East to power generation initiatives in North America. This vast experience equipped her with a comprehensive understanding of environmental regulations and the challenges companies face in balancing profitability with sustainability.

Her experience in regulated industries also gave her a deep respect for compliance. “The oil and gas industry is highly regulated, and that helped me develop a strong foundation in navigating environmental standards,” she explains. She managed large scale projects that required detailed emissions monitoring, water treatment, and environmental impact assessments, giving her firsthand experience in dealing with sustainability challenges in complex systems. This experience is key to her current work, advising businesses on how to embed sustainability into their operations.

The Role of Energy in AI Development

Korney begins by emphasizing the energy demands of AI, noting how critical it is for developers and businesses to understand the environmental impact of their AI tools. “There’s such a huge draw on energy resources,” she says, explaining that energy consumption is at the heart of sustainability challenges in the AI sector. “How that energy is used in any business is a major focus in sustainability.”

In her view, the pressure is building on companies not only from regulators but also from clients who expect AI solutions that align with environmental goals. Energy usage, whether in data centers or in developing machine learning models, is scrutinized across industries. “The mission and energy usage vary depending on where in the world you are,” Korney explains, underscoring the complexity of addressing these issues on a global scale. "We've done actual analysis on AI carbon footprints," she reveals, indicating that companies in the tech sector are already grappling with the environmental impact of their AI models. This work highlights the growing demand for tools that measure the sustainability of AI applications.

A Foundation in Regulation

Korney’s background in highly regulated industries like oil, gas, and power generation gives her a deep understanding of the regulatory frameworks companies must navigate. "Working in oil and gas, you couldn’t avoid the environmental side,” she says,recounting her experience with pipeline projects that required extensive documentation to meet emissions targets.

For AI, these regulatory concerns are emerging. But Korney sees a parallel with other industries. “AI companies are going to face similar pressures,” she predicts. “Right now, AI tools are being adopted because they’re cost-effective, but sustainability will soon be a bigger factor.”

Tools and Technologies for Measuring Impact

When discussing how companies can better track and manage their sustainability efforts, Korney points to the growing role of technology. At J.S. Held, she and her team use advanced tools to gather data across environmental sectors and the social side of ESG (Environmental, Social, and Governance). “A lot of these tools are starting to implement AI in different capacities,” she says, pointing out that technology can help companies streamline their sustainability reporting and compliance.

The reporting process itself varies depending on the industry and region. “In Europe, regulations like CSRD have real teeth,” Korney says. In contrast, U.S. regulations can be more fluid, often influenced by politics. This variance means that companies must tailor their approaches based on local regulations, which often conflict. “You have to really understand the regulatory requirements in the region and industry you’re operating in,” she advises.

AI’s Dual Impact: Energy and Employment

Beyond energy usage, Korney highlights a second, less obvious impact of AI: its social consequences. “There’s a concern about the jobs that AI will replace,” she says, noting that certain demographics may be disproportionately affected. As AI continues to automate tasks across industries, companies must consider the social implications of reducing the need for human workers in certain roles.

For Korney, addressing these concerns requires a balanced approach, integrating AI into business operations in a way that supports both sustainability goals and social responsibility. “Companies are adopting AI because it’s cheaper, but they also need to be aware of the broader impacts,” she believes.

Practical Solutions for Reducing Energy Consumption

When asked about actionable steps businesses can take to minimize their environmental footprint, Korney is clear that green energy is key. “All types of green energy are better than fossil fuels,” she says. Implementing solutions like microgrids—localized energy grids that can operate independently of the traditional grid—can significantly reduce a company’s energy consumption. Solar generation, too, offers opportunities for companies to generate their own energy, reducing their reliance on conventional power sources.

In addition to energy solutions, Korney emphasizes the importance of rethinking infrastructure. “Decreasing your footprint through innovative building technologies is another way to mitigate your impact,” she advises. This can include using renewable energy sources like solar and wind, as well as incorporating energy-efficient designs and systems in facilities.

Carbon Offsets and the Risks of Greenwashing

Another area Korney touches on is the growing market for carbon offsets—credits that companies purchase to compensate for their carbon emissions. While these offsets can be part of a broader sustainability strategy, Korney cautions against relying too heavily on them without fully understanding their limitations. “There are scams out there around carbon offsets,” she warns. Voluntary markets, where many of these credits are sold, pose higher risks because the projects are not always verified or validated.

“The regulated market is more expensive but offers more security,” she adds. Companies need to assess their risk tolerance when purchasing offsets and consider the types of projects they are supporting. “There’s concern around reforestation and deforestation credits, for example,” Korney explains. "If the trees are removed before the expected carbon sequestration period, the project may not deliver the intended impact."

AI and Sustainability: A Competitive Advantage

Despite the challenges, Korney is optimistic about the future of AI and sustainability. She believes that companies that proactively manage their carbon footprint will gain a competitive edge in the marketplace. “If a company can say that their AI services have a lower carbon footprint than their competitors, that adds tremendous value,” she says.

For businesses, this means understanding their sustainability impact from the ground up. “At J.S. Held, we help companies write sustainability strategies that align with their growth plans,” Korney explains. The key is integrating sustainability into every aspect of the business, from product development to customer engagement.

Pressure from Consumers, Investors, and Regulators

In today’s market, companies face pressure from three primary sources: consumers, investors, and regulators. According to Korney, all three play important roles, though their influence varies by industry. “Not everyone is at the mercy of investors,” she points out. Some companies, particularly those operating business-to-business, may be more concerned with regulatory compliance than consumer demand.

However, as consumers become more educated and more vocal about sustainability, their influence is growing. “Consumers are much more knowledgeable now than they were even a few years ago,” Korney says. This shift means that companies must be prepared to meet higher expectations around sustainability if they want to maintain their market position.

The Future of Sustainability and AI

Looking ahead, Korney remains bullish on the long-term impact of sustainability initiatives, even as regulations evolve. "The U.S. government is changing, and there may be some shifts," she says, but she is confident that global trends will continue to drive progress. “Consumers are more educated, and regulations in places like California will continue to push for better behavior.”

For companies navigating the AI space, the message is clear: sustainability is no longer optional. As Korney puts it, “Balancing sustainability with commercial strategy is critical.” Companies that embrace this balance will not only meet regulatory requirements but also gain the trust of consumers and investors alike.

In a rapidly changing world, where AI is transforming industries and environmental concerns are top of mind, the intersection of technology and sustainability is becoming a defining issue for businesses. With experts like Andrea Korney leading the way, there is hope that AI can be a force for both innovation and environmental responsibility.

Andrea will be a featured speaker and panelist on Arc AI’s upcoming webinar “AI & Sustainability”.

You can follow Andrea at: www.linkedin.com/in/andrea-korney-00063614

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Andrea Korney, Vice President of Sustainability at J.S. Held, leverages her 25+ years of expertise across energy, metals, and extraction industries to drive the integration of AI and sustainability, focusing on balancing innovation with environmental and social responsibility.

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