Consumers are key players in lowering carbon emissions from the electricity system. We are all
consumers, so we must ask ourselves how we can contribute to smart energy usage and how this
will affect our daily lives. Utilities are in for a radical change.
Global warming and the need to decarbonize operations top today’s business agenda. This article presents a vision of
how this may affect the individual consumer, and also of the transformation facing the utility industry. Salvatore is sitting at the airport waiting for his flight when he receives an e-mail alert on his smartphone from his energy
service provider. The alert informs him that back home in Italy critical peak pricing for electricity will come into effect in four hours.It is summer . European utilitymarket liberalization has created fierce competition among energy service providers.
Regulators have increased the pressure on energy companies to achieve substantial changes in the consumption behavior for both residential and commercial customers. The target for electricity generation from renewable energy sources has been raised to percent by .
The opening of the European utility market has resulted in further consolidation, with a number of pan-European players in the segments of electricity generation, distribution,
and retail. Electricity distribution networks are undergoing a fundamental
transformation into an integrated “European Smart Grid.” What does all this mean for Salvatore?
Motivated to make a personal contribution to global sustainability (and of course driven by financial incentives), Salvatore has recently signed a new contract providing a “best peak rate” for his house in the
greater Rome area.Electricity consumption has risen substantially in Southern and Western Europe during July and August, primarily due to air-conditioning systems and plug-in hybrid electric vehicles. Energy service providers across Europe have introduced tariffs with sharply higher prices during peak-demand hours and incentives for customers who are willing to reduce consumption during those times.
Salvatore is a businessman and a father with two small children.
Read the full article here: www.ericsson.com/ericsson/corpinfo/publications/ericsson_business_review/pdf/209/209_SERVICES_smart_energy.pdf