Multi-service energy providers
June 3, 2015
The good news is that the transformation occurring in the energy sector is being driven by many benefits: increased system efficiency, lower system costs, reduced energy bills, increased clean vehicles, increased energy efficiency and competitiveness, reduced emissions, increased system resilience and reliability, and increased energy security.
The question for municipal owners of electric utilities is whether their community is interested in benefiting from the inevitable reshaping of the energy market or – as a colleague of mine likes to provoke – are they going to sell the family silver and let others to be the beneficiaries of the strategic shifts.
The “LDC of the Future” will need to offer a wide range of energy services tailored to the needs of differing customer groups or even individual customers.
Energy services to end users will include electricity, heating, cooling, thermal fuels, energy efficiency and energy information. Longer-term, water and waste water could be considered as an integral part of the utility offering. Energy services to communities could additionally include infrastructure for electrification of transport, waste-to-energy infrastructure and services, and energy information to enable active integration of energy into urban planning decisions.
In other words, today’s single-service energy providers will become multi-service energy providers with a constantly evolving portfolio of offerings designed to meet customer needs. They should be municipally-oriented and include multi-municipal groupings.