How to effectively manage energy in the face of the energy sector transformation?

Not long ago, energy production relied heavily on large-scale power plants with well-defined supply chains. Energy companies were responsible for generating and distributing power to consumers. However, the rise of renewable energy sources has significantly blurred these lines. 

Today, energy production is becoming increasingly decentralized and moved to the edge of the grid.  Wind and solar farms are cropping up, often managed by prosumers - those who both generate and consume energy. Industrial entities are investing in renewables and storage, fostering a new dynamic energy ecosystem. In this framework, anyone can be a producer and offer services related to energy distribution and management, creating a more inclusive and flexible energy landscape.  

The energy sector's evolution introduces new complexities. It's expected that 75% of energy will come from specialized companies, while prosumers contribution will go up even up to 25%. This diversification of energy sources complicates supply management strategies. The variety of energy-generating assets, their individual unique traits, and the growing number of prosumers, combined with decarbonization pressures, complicate decision-making in energy production. 

On one hand, we aim to deliver necessary energy amounts while prioritizing green assets. On the other, it is essential to produce remaining energy in effective and sustainable manner.  

Regulations from the European Union, like the Fit for 55 package and the REPowerEU plan, set ambitious targets for greenhouse gas reductions. Companies must adjust their strategies to meet evolving environmental standards, facing tough yet vital challenges in the fight against climate change. 

Energy suppliers must base production decisions on a range of sources, from wind farms to coal plants. “It's essential to adopt modern technologies for integrating and managing energy sources,” notes Artur Mroczkowski, Director, CEE Software Services, Etteplan. Introducing additional logical layer, the Software Defined Grid, could enable a holistic approach to energy production planning. This enhances the energy management system’s ability to optimize distributed energy sources and make informed decisions on energy sourcing, ensuring sustainable demand fulfilment through data analytics and AI.  

As pressure for decarbonization mounts, companies must adapt their strategies to evolving market and regulatory landscapes. Investing in low-emission and renewable energy assets is crucial for achieving climate neutrality. “We provide solutions for integrating with existing asset management systems, allowing for flexible market adaptation, supporting decision-making, and enhancing management of both renewable and traditional assets,” explains Mroczkowski. 

Managing energy through modern software solutions offers numerous benefits.  Noticeable cost reduction through more efficient resource utilization, increased production stability due to better asset management, moreover, intelligent systems can dynamically adjust output to meet fluctuating demand, which is vital for renewable sources.  

A forward-thinking approach to energy management not only optimizes operational costs but also aligns with decarbonization goals. Companies must evolve to meet increasing environmental expectations, and integrating with asset management systems supports adaptable resource management. Leveraging innovative software solutions leads to effective energy flow management, resulting in reduced costs and improved production stability.