Whatever the future holds nobody knows – as renowned author Matt Myklusch said: “the future is not written. It lies in the choices you make. Our future is ours to decide. Always”
The Great Lockdown has thrown at us some unprecedented challenges and has impacted every sector of commerce and industry, and the energy sector is of no exception.
Over the past few, months the industrial and commercial power demand has been hit significantly due to lockdown, estimates say global energy use is predicted to fall over 6% in the year 2020, which is a significant alarming number. The pandemic has led to a record rise in unemployment with an estimate of at least 10% of the workforce currently unemployed and likely to peak at 15-30% (Link). The impact on power utilities will depend on how long the COVID-19 negative economic impact persists; and to add to hurdle is the drop in oil and gas prices.
This overall decline, though unavoidable, is only temporary. As Industry leaders, it is going to be imperative to ‘Reimagine and Rebuild’ businesses that is conducive to the current scenario and prepared to receive such jolts in the future. The sector is likely to face more hurdles because of the disruption of supply chain over the past two months, however with China resuming activities it will significantly reduce the impact in the near term. Some economists believe the 2nd half of 2020 is where the road to recovery begins laced with changes adapted towards the new world order.
Reimagine and Rebuild
This pandemic has caught businesses off-guard and every company is forced to ‘Reimagine’ the way they operate and ‘Rebuild’ their business that is more conducive to the future. One thing is sure that they are not going back to their old ways of doing business and will look to reduce their economic and infrastructure vulnerability. Renewable energy, climate change and sustainability are not just mere buzz words anymore – rather important drivers post the corona crisis. In fact, Canadian Prime Minister Justin Trudeau announced a new program of corporate relief tied to how they plan to reduce their environmental footprints (Link
Emerging technologies such as Solar, Wind Power and Batteries (for EV’s) are going to take centre stage post the Corona crisis to supplement conventional power generation (Link). There is a temporary set-back in the delivery of equipment as China is the major producer of clean energy technologies, which is likely to change once the economy restores. Countries around the world are also encouraging renewable energy producers by giving tax breaks and to commence sales once things ease a bit.
Furthermore, Artificial Intelligence and machine learning are going to play a significant role in rationalizing and maximizing energy and are going act as the super brain for future power plants. The challenges such as efficiency and supply-demand are going to be taken care by enhanced analytics and algorithms which is going to push companies towards smart energy solutions.
South Korea has made a head start by investing in artificial intelligence and big data technologies. The Korean government in the effort to foster growth in the energy sector has committed to pick six local energy start-ups and are providing them with USD 814 Million aid each. These start-ups provide services to operate renewable energy and solutions to improve energy efficiency by mixing AI and Big Data Technologies. Similarly, other countries are also looking at supporting the energy sector and there is going to be a healthy influx of human and technology thereby creating new and better jobs within the global energy market. (Link)
As we set foot into a new decade, companies such as NAVSAR, who have been making a difference in the sustainable energy space, will act as a catalyst to launch aggressive strategies that help companies adapt to better technologies and move towards sustainability and efficiency.
NAVSAR is one of the Leading Energy and Infrastructure development Company based out of Singapore offering a bouquet of services and solutions for the Energy & Infrastructure Industries. Visit www.navsar.in to know more about our services and email email@example.com to know how we have been helping our clients. For information regarding our A.I. services, visit our partners www.keemurai.net
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