TALKING HEADS Stewart Dawson
A service to give peace of mind
Stewart Dawson is managing director of Vattenfall Network Solutions UK
Dawson: 'contingency planning is likely to be much higher on the priority list from now on'
A new business model promises to reduce the risk and network management workload associated with high-voltage infrastructure, says Stewart Dawson
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f the events of 2020 have told us anything, it’s that nothing can be taken for granted. Unexpected events have the potential to impact significantly on individuals, companies and governments – sometimes in ways that could take years to address or rectify. Contingency planning is likely to be much higher on the priority list from now on. The energy sector might actually be one or two steps ahead of many others as concerns about consistency of supply have been widely discussed for several years now. In the UK, an ageing electricity network and insufficient investment in new infrastructure – with some proposed upgrade projects being cancelled outright – recently led the CEO of the National Grid, John Pettigrew, to voice his fears about the likelihood of more regular blackouts: “The risk of a loss of supply increases as a result of not spending as much on asset health, because the assets are deteriorating as they age.” Decaying infrastructure is by no means the only source of concern. Security specialists have been expressing fears about the disruptive possibilities of cyber-attack on energy systems for a long time, while the increase in extreme weather events due to climate change presents another huge potential challenge to energy resilience. There are also personnel issues to consider; for instance, during the early days of the pandemic, the National Grid urged readiness for blackouts with energy companies suspending non-essential work and anticipating a shortfall of engineers caused by sickness and quarantines. There’s no question that power outages can be devastating. Not only are they detrimental to productivity, loss of power can also have serious consequences for equipment and systems when spikes in power levels are involved. With digitalisation and automation continuing
‘Power as a Service allows businesses to concentrate more firmly on their core activities ’
apace across huge swathes of industry, the after-effects of power interruptions are only going to become more complex. It’s no wonder, then, that interest in services that aim to minimise energy-related risk is growing. New models which deliver ‘Power as a Service’ (PaaS) are coming to market, which are specifically designed to provide peace of mind for major electricity users – such as customers in manufacturing, industry, transport and commercial property – while freeing up financial capital. It’s important to note that Power as a Service is quite distinct from Energy as a Service (EaaS) – a model that has become widely utilised, but which generally refers to energy efficiency-related business models or subscriptions. By contrast, PaaS applies exclusively to major energy users who own, or are looking to invest in new, high voltage electrical infrastructure. Managing and planning energy usage is becoming an increasingly complex – and time-consuming – task. PaaS addresses this head-on by removing all client responsibility for high voltage networks. The idea is that the service provider takes on ownership and compliance in return for a fixed monthly fee. All of the associated concerns – including regulatory and environmental issues – are also accommodated within the PaaS model. Recent experience in Sweden and elsewhere confirms that the model is resonating particularly strongly now because it allows businesses to concentrate more firmly on their core activities. Especially now, energy is such a fast-moving sector, and keeping tabs on the latest developments is challenging for any business. Partnering with a specialist allows the entire area of responsibility
to be removed, freeing up personnel and resources. For instance, in the case of technical staff, it could mean they have significantly more time to focus on other core technology issues, such as the maintenance of IT networks. Moving forward into what promises to be a more unpredictable future (on just about every level!), PaaS also provides guarantees regarding system breakdown. So if an asset should fail during the timeframe of the contract, the service provider will repair or replace the asset at its own expense. In such challenging times, it should come as no surprise to hear that the ability of PaaS to release CAPEX back into customers’ core businesses has prompted a great deal of interest in the service. But with many businesses also needing to refocus on their core operations to ensure they remain viable, Power as a Service allows companies to take one major source of worry out of the equation altogether. And with continual innovations to reduce the carbon impact of energy services, a customer who gets onboard today can expect to benefit in even more ways in the future.
42 | ENERGY IN BUILDINGS & INDUSTRY | NOVEMBER/DECEMBER 2020
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