There are advantages and disadvantages to the quick adoption of artificial intelligence (AI) in industry and society, especially when it comes to sustainability. Although AI has the potential to spur creativity and efficiency, its broad use presents serious ethical and environmental issues, such as high energy consumption, workforce transformation, and ethical quandaries. More than just technological developments are needed to meet these difficulties; strategic leadership that can guide AI development and implementation towards sustainable practices is also required. By putting out a conceptual model that clarifies the role of leadership in promoting morally and environmentally sound AI applications, this study investigates the relationship between leadership, AI, and sustainability. The model illustrates how leadership can spur green AI innovation, encourage responsible AI governance, and lessen the unintended societal effects of AI adoption by incorporating AI-driven sustainability strategies into an Environmental, Social, and Governance (ESG) framework. The study offers a methodical approach to sustainable AI leadership, which advances both scholarly discussion and business practice. It offers academics a theoretical framework for comprehending AI governance in sustainable situations. It provides industry executives with strategic insights to help them strike a balance between social and environmental responsibility and technological growth. In the end, our study emphasizes how crucial it is for leaders to incorporate sustainability into AI governance in order to guarantee that AI acts as a stimulant for sustained, ethical innovation.