The global consumption of energy is growing and it will continue in the next years. Currently, renewables are exposed to new risks from Covid-19, that cause delays in project deployments. Nevertheless, in contrast to fossil fuels that experienced the giant collapse in demand this year due to the pandemic and associated lockdowns, renewables are expected to continue growing. Additionally, the European Green Deal will be a key pillar of a post-Covid19 economic recovery plan proposed by the European Commission. The new recovery instrument, Next Generation EU, valued at €750bn, will support renewables’ development.
This is a great opportunity for companies from both the “green” and “traditional” energy industries to seek advantage from digital transformation to meet the power and energy needs of the future.
Power generation from renewable resources or from a combination of various technologies from both renewables and traditional methods (hybrid) is a challenge. A challenge is also the delivery and quality of the generated power as well as asset level visibility, cyber security, new technologies etc. … All these challenges call for digitalization of the energy market which will boost the generation and distribution of green energy.
The benefits of digitalization for the energy sector
Implementation of new technologies has had a positive impact on the industry. According to McKinsey, digitalization can make improvements in areas like:
We can easily add to this list of improvements life extension for power plants and networks, lower network losses, lower O&M costs, and many more.
Digitization, digitalization, and digital transformation
Asset management and O&M have significantly changed in the last decade as digitalization is playing more and more a key role in how solar assets are managed and maintained. If you want to stay ahead of the game, you need to use technology to make your operations leaner, more efficient, effective, and transparent.
Working better and smarter is possible with the help of digitalization. But what exactly is digitalization? Let us analyze some of the basic definitions.
DIGITIZATION is the process of creating a digital version of information and documents. Digital files empower/ give users (with) easy access to information and connectivity with other stakeholders. Centralizing documents saves a lot of time and disposes off unnecessary tons of piles of paper.
DIGITALIZATION refers to automating business processes and workflows. It contributes to reducing the costs and leveraging the company’s position, as the business becomes more efficient.
DIGITAL TRANSFORMATION is an accelerating evolution of business processes that takes advantage of opportunities coming from digital technologies and applies them across society. Through digital transformation, we receive new products and services. They create additional value for customers of our businesses.