the impact of emerging and disruptive technologies Sean Casey, Head - - PowerPoint PPT Presentation
Digital grids and markets: the impact of emerging and disruptive technologies Sean Casey, Head of Energy and Assets, EY 2020 National Power Summit Agenda 1. Introduction 2. A sector in transition 3. Focus on emerging technologies 4.
Sean Casey, Head of Energy and Assets, EY 2020 National Power Summit
Strategy PM Services Operating Model Transformation Wholesale Energy Markets Price Control Risk Management IT Security Services
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Smart Metering Cyber Security Energy Planning Internal Audit
Over 120 people currently working within the energy sector in Ireland
Our global presence has increased by 50% in the last two to three years, working with leading
~ 1,200 Advisory Sector Specialists ~ 4,500 Global Sector Specialists
Building a Better Working World
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More renewables in the generation mix
Bringing new challenges in forecasting supply/demand, maintaining network stability and ensuring security of supply
Rise in distributed energy generation
Bringing the need to be better equipped to accommodate energy flows in all directions
Exponential growth in connected devices
Digitisation of the sector is required to manage the decentralised energy system causing an important data challenge
Stakeholder Expectations Increase in electricity demand due to electrification
Adoption of heat pumps and electrification of industrial processes will lead to rise in electricity demand
Stakeholders increasing their expectations
Government pressure, ever-changing regulatory expectations and demands, investors and public expectations, customer needs, …
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100 200 300 400 500 600 700 800 2015 2020 2025 2030 2035 2040 2045 2050 $/MWh
Birth of the new energy system Electricity and mobility industry convergence Digital energy marketplace
1 2 3
Grid cost parity of non-utility solar plus storage systems EV & ICE parity (cost + performance) T&D parity with non utility solar + battery LCOE Non utility solar + battery LCOE Fully delivered cost of electricity Cost of transmission and distribution Source: EY Countdown Clock model Note: The above representation reflects views for Europe and Oceania which are leading in this journey towards a new energy ecosystem. EY has similarly projected views for other regions as well.
The future energy system will be shaped by three tipping points Digital and innovation will be the key enablers of this change
A new level of efficiency
Digital and technology as crucial elements to improve operational excellence of the current business – releasing cash for required investments in a new energy system
A building block of the new energy system
Digital building blocks for the platform required to integrate, control and steer all DER in a new (to be build) energy system
An enabler of new business models
Digital technologies fueling the development of new services and business models, generating new revenue streams in defense or in
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Solar PV
Distributed solar systems, producing energy on-site that can be consumed, stored and sold
Battery storage Electric vehicles Microgrids Home and building energy systems Peer-2-peer energy exchange
On-site batteries used to store electrical energy, including both stationary as well as EV batteries Plug-in passenger EVs, including battery electrical vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) A group of distributed energy resources (DER) and electrical loads with clear network boundaries. Can
Energy management systems that enable the most efficient and cost effective measurement, monitor, control, and optimization of energy consumption Technology which helps prosumers to exchange excess electricity with other consumers
Key technologies driving the ‘tipping points’
Smart meters Artificial intelligence Grid edge technologies Cloud
Records consumption of electric energy in intervals of an hour or less and communicates the information back to the utility for monitoring and billing every day AI/cognitive systems that formulate possible answers and automatically adapt based on available evidence and training by ingesting vast amounts of data Includes devices, such as syncrophasers/smart grids, which helps record, monitor, control and optimize energy distribution Defined by public cloud sharing of electric utility spending on software, server and storage.
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UNIQUE FIELD OF PLAY
FOR UTILITIES ADDRESSING DECARBONIZATION, DIGITALIZATION AND DECENTRALIZATION
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► Smart building data management ► Analysing asset usage data ► Energy optimisation ► Customer service automation ► Customer churn analysis ► Deciding ToU rates
Verdigris’ smart sensors and AI cloud solution collects data about the buildings to make better decision, reduce costs and automate the response brings practical applications of deep learning and AI to customer service
chatbot leverages AI to do the arbitrage for the trilemma - sell, store or consume your energy
Innovative AI solutions are rapidly emerging
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► Energy grid management ► Monitoring energy delivery ► Electricity pole surveillance ► Remote O&M ► Sub-station diagnostics ► Grid de-energization
Innovative RPA solutions are rapidly emerging
is a France-based company writing software for off-the-shelf drones, automating the entire drone inspection process - from the inspection activity to the reporting ABB’s Power Transmission Systems improves grid reliability and efficiency by automating the grid via completely engineered systems
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► Energy consumption insights ► Improving load forecasting ► Consolidate multiple IoT data points ► Transactions management ► Real-time energy usage insight ► Energy metering
We notice a rapid evolution coming from different actors
has developed a real-time monitoring and automation system, enhancing the reliability, efficiency and profitability of grid operations delivers a technology platform for smart buildings, providing sensor technology and scalable network for real- time data collection and high-value applications is an industrial automation development company, creating sensor technologies, data analysis and monitoring solutions. NAS’s IoT hub offers secure and easy way to connect, monitor, and analyse the data
Transmission
► Shift towards point to point
development
► Leveraging storage to balance the
electricity grid
Distribution
► Increased deployment of storage
solutions to manage distribution network load
► Rise of microgrids ► Transition from DNOs to DSOs
Generation
► Renewables growth led by solar and
► Focus on Nuclear for baseload ► Availability and pricing of gas a critical
factor
Retail
► New competition ► Rise of P2P trading ► Growth of aggregation services ► Capturing the potential of EV revenues
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Paradigm shift
Future epicenter of energy Current epicenter of energy
Generation flows downstream to consumption Consumption and generation become an interconnected, two-way network
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82% of customers in Australia demand to communicate via social media and other non-traditional channels Customers expect to reach their service providers 24/7 – across multiple platforms Customers prefer using a mobile application before calling the service center 75% of customers in UK want utilities to use technology to make their life easier 35% of customers in UK now use price comparison websites to choose their energy supplier
Customer interaction with service providers has moved
build stronger relationships with customers.
Bringing innovation for tomorrow by… Differentiating in the market today by…
Emerging technologies underpin the Digital and Innovation agenda
Being digital Adapting to energy transition Unlocking new business models
E-mobility Flexibility services Other utility services Connected home DG equipment Energy storage Energy services Smart meters Smart city Shared services Technology services Data and analytics
Energy- related Non energy
Energy services Energy storage e-mobility Flexibility services Connected home products Other utility services DG equipment Smart meters Technology services Smart city products Shared services Data services Note: Size of Bubble represents the addressable opportunity size for utilities
Energy related Non-energy Time to market Potential
Low High >2 years 2 to 4 years 4 to 6 years 6 to 8 years 8years and beyond