AI and VSC-HVDC: Powering the Next Generation of Grid Modernization

Can technology bridge the gap between the challenge and the solution?
Nov. 3, 2025
8 min read

Ever get the impression we’re playing whack-a-mole when it comes to addressing the challenges facing the power delivery systems? The list of examples can fill a book, but it’s sufficient to say no sooner than we address one issue than a couple more pop up. Interestingly, there are some innovative and unique technologies available that are pretty darn effective when it comes to adapting to changes and challenges. Consider the VSC-HVDC (voltage source converter high-voltage direct current) branch of the HVDC-based transmission family.

When it comes to transmission capacity issues, a VSC-based HVDC transmission line can transport roughly twice the power capacity at half the transmission line losses of the same voltage HVAC (high-voltage alternating current) transmission line. In addition, VSC-HVDC transmission technology offers greater flexibility and control. It is truly an innovative technology that is making strides and gaining headway when it comes to the grid’s challenges, but there is more.

Combining the VSC-HVDC with artificial intelligence (AI) is scaling up the transmission infrastructure with additional capabilities needed for grid modernization. AI adds a dimension to VSC-HVDC transmission technology that improves the optimization of control systems as it increases the system’s power flow for better performance. Overall AI is driving power grid innovation, which has been recognized by utilities, grid operators, and merchant transmission developers worldwide.

VSC-HVDC Today

According to Markets and Markets, a marketing research company, the global HVDC transmission market was estimated at over US$14 billion in 2024. It’s expected to reach about US$15.6 billion in 2025 and increase to over US$22 billion by 2030. That’s an expanding CAGR (compound annual growth rate) of 7.2% from 2025 to 2030. They went on to say the major factors driving the market are, “integrating VSC technology into HVDC systems, rapid transition toward renewable energy, and grid modernization to improve power reliability.”

The report went on to say, “Market expansion is primarily supported by increased adoption of VSC-based HVDC systems, which are compatible with renewable energy integration.” They added, “AI and GenAI are reshaping the HVDC transmission ecosystem by introducing advanced system monitoring, control, and resilience capabilities.” AI’s accelerating technological evolution makes it a process that can’t be ignored.

Last month “Charging Ahead” explored how utilities were adapting and adopting AI’s growing capabilities in the article titled, “Tapping Into the AI Electric Utility.” AI’s beneficial effect on the challenges facing the aging transmission infrastructure were only mentioned slightly. Let’s look deeper into the AI utility and explore enhancing AI-driven VSC-based HVDC technology. More specifically, it is the VSC-HVDC meshed networks that are of interest. For those unfamiliar with meshed networks, they are interconnected systems of multiple VSC-HVDC transmission lines in a grid-like or intertwined configuration.

VSC-HVDC Tomorrow

The application of VSC-HVDC meshed networks is limited today, but several multi-terminal projects are in operation or in the construction stages. Granted multi-terminals are not fully meshed networks, but they’re laying the groundwork for future meshed grids. It is a slow process, but integrating AI into the VSC-HVDC technology is helping development. It has paid off with advancing features like adaptive controllers, fast fault detection, and multifunctional protection schemes.

These innovations are necessary as the VSC-HVDC technology matures. These features are also the precursors of where this technology is going. Maybe a better approach would be considering these AI-driven functions as the building blocks necessary for unlocking the grid’s potential. It’s part of the progression for moving multi-terminal systems toward having functional meshed networks. It’s the bridging of the gap between existing VSC-HVDC facilities and tomorrow’s meshed grids.

Have you heard of agentic AI? It’s being described as the new kid on the block by the AI community. It’s a form of AI that may possibly be the key to meshed grids. It can plan, perform tasks, and adapt to changing conditions. It can also act independently completing specific tasks, making decisions and taking actions. Have you heard about the CI/CD pipeline? That’s the process of continuous integration, continuous delivery, and continuous deployment used to automate software development. It’s another of the frameworks being utilized by full stack developers for accelerating AI progress.

A Tech Approach

This is where it’s time to talk with the experts. Specialists who are actually working with these tools and building the next generation of AI augmented applications for the multifaceted power delivery system. “Charging Ahead” contacted Dacian Messthaler, software architect, head of Engineering Platform, and Jens Dietrich, teamlead control level, C&P platform at Siemens Energy to get their input on what to expect as the grid is hybridized into an AI-driven dynamic power grid.

Mr. Dietrich opened the discussion saying, “AI and their specialized systems are the reasonable place to start and for HVDC the control system has been the focus for many years. How do you bring GenAI into this scheme? The first step is the development of the foundation, which is known as an engineering platform. The platform provides the environment for these elements to interact and work together – including processes, workflows, and best-practices. It began as a move from project-specific engineering to a standardized, reusable technological backbone, driven by the need to scale engineering processes amid rapidly increasing project intake.”

Dietrich explained, “This approach is much like today’s digital twin modeling. It allows teams to simulate and test HVDC systems virtually. It brings early customer engagement into the design process rather than later. It happens when designs can be improved by timely customer interaction. It becomes an iterative design process before physical implementation, which helps clarify requirements and reduces late-stage changes. It also makes the manufacturer and customer partners in the project’s progression.”

Mr. Messthaler pointed out that, “Standardization is the key element to this happening. It’s essential for scaling of Siemens Energy’s engineering efforts as HVDC applications become the preferred transmission option as the number of projects and complexity grows significantly. Interoperability and standardization provide a compatibility necessary in this streamline effort relying on the integration of AI technology. It provides a common set of guidelines needed for the development and operation of AI-driven HVDC schemes, which have the potential for more advanced automation across engineering workflows.”

Messthaler continued, “What we’re discussing is still in the developmental stages, but every day more building blocks of this process are becoming available. It’s a future goal for project workflow where a new HVDC project can be initiated through the engineering platform. It requires minimal input – mainly based on systemic requirements and parameters, by taking advantage of applications like digital twins, automated CI/CD pipelines, and AI-driven project setup. When functional its objective is the acceleration of project delivery with enhanced customer collaboration. This is not an environment where agentic AI would replace the human technical staff. On the contrary, this agentic AI-driven platform requires constant human guidance. Think of it as a Human-AI collaboration augmenting the technical staff by utilizing the AI-driven platform to handle repetitive tasks and enabling the technical staff to focus on higher-level design, negotiation, and problem-solving.”

In closing, Mr. Messthaler and Mr. Dietrich summarized the purpose of Siemens Energy’s effort on developing a standardized engineering platform for HVDC projects utilizing advanced AI technologies. It aims to provide the human technical staff the tools for increased reusability, predictability, and efficiency in engineering processes. The concept of agentic AI platforms is being explored. It represents the integration of already existing modular standard elements and workflow specifications with a more advanced automation intelligence! It’s a reasoning across engineering workflows that seek to integrate business knowledge in the process but stressed that current prototypes are not operational yet.

The Creative Forefront

The traditional point-to-point HVDC transmission has been very good when it comes to moving gigawatts across the power grid, but technology moves onward faster and faster. Multi-terminal meshed networks are the future. They’re more resilient because power can be rerouted when congestion or faults would cause impediment of the flow of power. Cutting-edge technologies are adapting the power grid to bridge the gap between challenges and solutions. Agentic AI-driven and other frameworks are pushing the boundaries of VSC-HVDC, and that’s expanding the grid’s limitations.

Like other topics that we’ve explored, evolving AI capabilities are very promising, but they need human interaction to get the most out of the process. Interestingly, rather than taking way human jobs, it’s making humans more indispensable. Take agentic AI, it acts autonomously. It achieves specific objectives, and it can independently solve complicated problems, but those are really repetitive tasks. It takes a skilled human technical-staff to bring these groundbreaking technologies to life.

They ensure the AI-driven applications can adjust to the power grid’s dynamic operating conditions. Innovation is indispensable with technologies, but technology doesn’t go anywhere without talented people applying it correctly to the issues. It is this versatility that enables the power delivery system to continue to get smarter with exceptional flexibility to adapt to changing real-world conditions. AI applications may be uncomfortable, but they’re exciting too!

About the Author

Gene Wolf

Technical Editor

Gene Wolf has been designing and building substations and other high technology facilities for over 32 years. He received his BSEE from Wichita State University. He received his MSEE from New Mexico State University. He is a registered professional engineer in the states of California and New Mexico. He started his career as a substation engineer for Kansas Gas and Electric, retired as the Principal Engineer of Stations for Public Service Company of New Mexico recently, and founded Lone Wolf Engineering, LLC an engineering consulting company.  

Gene is widely recognized as a technical leader in the electric power industry. Gene is a fellow of the IEEE. He is the former Chairman of the IEEE PES T&D Committee. He has held the position of the Chairman of the HVDC & FACTS Subcommittee and membership in many T&D working groups. Gene is also active in renewable energy. He sponsored the formation of the “Integration of Renewable Energy into the Transmission & Distribution Grids” subcommittee and the “Intelligent Grid Transmission and Distribution” subcommittee within the Transmission and Distribution committee.

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