The usage of coal and, more recently, oil has replaced wood as the primary fuel in the power industry, which has experienced significant change. Gas has developed more quickly than any other fossil fuel in the twenty-first century, and renewable energy is now expanding even more quickly. Complex possibilities for the energy sector's future are produced by the changes, erratic energy prices, and sporadic shocks.
Following are some trends which will shape the future of the Power Industry :
Digitization Will Fuel Sharing Economies
Across the value chain, digital technology will change how business is done. The ramping up, balancing, and diagnosis of demand will be accomplished by decentralized networks of intelligent, agile, and self-serve components. The efficiencies for demand response and cost optimization will rise with intelligent automation employing the Internet of Things (IoT), Artificial Intelligence (AI), and Robotic Process Automation (RPA). The usage of mobile applications will increase customer self-service. An area where organizations have a lot of room for development is customer service and relationships, which will be improved via the use of analytical insights.
Electricity asset owners, prosumers, and customers will be able to price and exchange energy in decentralized marketplaces based on market value thanks to digitization. Transparency and confidence in the distribution process will be introduced via blockchain technology and smart contracts.
Decarbonization of the Power Industry
This megatrend emphasizes the need to lessen the amount of pollution that is emitted during the production and use of fossil fuels, which have long been a primary source of energy in several developed nations. Some European nations have passed increasingly strict emission regulations, which has led to significant technical advancements like the introduction of electric cars in the transportation industry. Additionally, firms, particularly in Europe, have been forced to invest more time and money in minimizing their environmental effect as a result of pressure from investors, customers, and authorities. This has been made possible by the declining cost of renewable technologies and their rising competitiveness, which in some industries have made them viable alternatives to fossil fuels.
Natural Gas Witnessing Fastest Growth
Demand for natural gas is anticipated to increase more than twice as quickly as that for oil. In 2030, it is anticipated to increase to 4,720 billion cubic meters (bcm), or about 20% more than it is now. In sharp contrast, over the same period, demand for coal increased by 1% and oil increased by 9%.
In contrast to oil consumption, which is restricted to the transportation and petrochemical industries, natural gas demand spans a wider range of economic sectors. Due to its rising usage in steel and petrochemical products as well as manufacturing, the industry is responsible for approximately half of the predicted rise in natural gas consumption. In the power industry, growing countries are driving natural gas consumption to satisfy the rapid increase in demand for energy and to assist the rollout of renewable electricity generation.
Some of the companies which provide power industry analysis are Strategy Here, Mordor Intelligence, SIS International Research and BIS research.
