For 2021, we expect a huge boost in the Green Energy Climate Fund. Studies expect energy transition, stable electricity grids, and storage options are key factors.
Energy efficiency is important for companies in many fields of activity, according to US-Reviews: industrial production, distribution and logistics, construction and real estate, etc. The performance of energy efficiency depends on the quality of the equipment used, but also on the ability to maintain them in good working order, and here digital technologies and sensors are very helpful.
In 2020, the energy sector faced serious challenges triggered by the coronavirus crisis. Experts are confident that the effects of the pandemic will continue to be felt in 2021. In this difficult situation, energy market participants will have to learn to reconfigure algorithms for managerial and investment decision-making, taking into account new trends.
Customer focus becomes essential
In an economic environment with a marked evolution of uncertainty, customer focus will be essential to attract and retain customers and, ultimately, to ensure a healthy business. People have become accustomed to digital services in most areas of their lives, and expectations for transparency and flexibility are now much higher. As a result, customers are becoming more likely to switch energy suppliers, especially after the liberalization of the electricity market for household consumers.
The needs of all end users are also evolving. For example, increasing the number of electric vehicles, private solar panels, and heat pumps create a need for integrated solutions, products, and services.
Automatic Energy Management and Artificial Intelligence (AI)
Artificial intelligence will remain a major technological engine in 2021. In the energy sector, AI is used more to analyze data on energy supply. Especially in this important branch of industry, where sustainability issues are as important as the most efficient use of resources and costs, the correct evaluation of data material is of great importance.
Data Analytics solutions provide the real-time analysis needed to optimize operational performance and decision-making. As a consequence of shorter delivery times on the market, the focus on energy management shifts from long-term planning to allowing an almost real-time response to change. This requires highly automated bidding and delivery processes, but also large volumes of data and artificial intelligence for forecasts, both for energy companies and for companies working in energy-intensive sectors.
The increasing adoption of cloud platforms in the energy and utility sector is expected to have a positive impact on market growth. However, the market faces major data security challenges as well as privacy issues. In addition, some energy companies have no data analytics expertise and are struggling to integrate new software solutions into their legacy IT architecture. To balance these factors and adapt to market requirements, energy companies need to invest and increase their IT skills.
Hardware and digital technologies
Hardware and digital technologies will begin to co-evolve, both needing each other to provide the necessary impact in terms of efficiency and resilience. Traditionally, energy has been an industry with a strong emphasis on physical processes. Improvements in hardware technology, machinery and equipment, and how to operate them will be just as important in the future, but will not be enough to make a difference.