What happened
Artificial intelligence provides South Asian nations a strategic tool for managing global energy shocks, especially those from Strait of Hormuz disruptions. This chokepoint handles 20% of global oil and gas, with conflicts causing price spikes and supply chain halts. AI systems offer predictive modelling, global risk monitoring, and optimised resource allocation, shifting fuel crisis management from reactive to proactive. Applications include advance warning for shortages, predicting reserve depletion, and simulating crisis scenarios, per Nalinda Somasiri, Associate Dean for Data Science & Computer Science at York St John University.
Why it matters
National security architects and procurement teams in import-reliant nations face immediate consequences from global energy volatility. AI's predictive capabilities offer weeks of advance notice for potential shortages and model reserve depletion, shifting crisis management from reactive to proactive. Procurement teams should prioritise integrating AI-driven early warning systems and predictive supply chain models for contingency planning and optimised resource allocation. This mechanism reduces economic instability and public disorder risks, a critical shift as geopolitical tensions, including the escalating Iran-US-Israel conflict, highlight global supply chain fragility.
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