By Dr Prakash Rao, Deputy Director, Symbiosis Institute of International Business (SIIB)
For decades, the energy sector has relied on labour-intensive and time-consuming techniques to uncover data pertaining to energy generation, transmission, storage, distribution and consumption. Lack of accurate and real-time data leads to several issues such as higher downtime, inefficient forecast of surges and shortages, delay in timely resolution of customer complaints, poor maintenance of energy systems, ineffective monitoring, price volatility and increased vulnerability to risks and frauds. These problems not only disrupt customer service but also cost significant revenue loss to organizations.
Energy analytics holds immense potential to overcome these constraints and enable energy and energy service companies to enhance their performance and business outcomes. It can transform the way energy companies undertake supply chain analysis, customer analysis, asset management analysis, risk management analysis and renewable energy analysis. The advantages associated with energy analytics are propelling its demand in the energy industry.
- Energy analytics helps companies save a lot of money, resolve issues and improve efficacy
- Energy and utility sector has contributed to 15% of all analytics jobs in 2018 as compared to 11% in 2017 in India.
- The global energy analytics market is estimated to grow at 17.60% CAGR and reach the revenue of USD 1029.92 million during the forecast period 2019-2027
- The share of renewable sources in meeting global energy demand is projected to grow by one-fifth in the next five years to reach 4% in 2023.
What is Energy Analytics?
Energy analytics refers to the use of sophisticated statistical software and machine learning algorithms to collect energy data and analyse it to deliver actionable insights pertaining to energy production, transmission, distribution and consumption patterns.
Market Size and Growth of Energy Analytics
The global energy analytics market is estimated to grow at 17.60% CAGR and reach the revenue of USD 1029.92 million during the forecast period 2019-2027. The demand for energy analytics is growing at the fastest rate in the Asia-Pacific region.
Energy companies are rolling out smart meters, smart grids, IoT sensors and devices, EV chargers, automated communication networks and many other intelligence-gathering systems which in turn are generating mountains of data. Hence, analytics has emerged as a crucial tool to harness the power of data.
Career Opportunities in Energy Analytics
Though energy analytics is an emerging field, it is touted as the smart future of the energy sector. According to a report, the energy and utility sector has contributed to 15% of all analytics jobs in 2018 as compared to 11% in 2017 in India. This figure is likely to rise in the coming years, given the increased demand for skill sets related to energy analytics.
Energy companies need energy analytics professionals for data evaluation and translate complex data into easy, comprehensible and meaningful information. Some of the key areas where energy analysts can contribute are:
- Reduction of energy expenditures
- Forecast of supply and demand
- Manage IoT sensors and other data sources in remote locations
- Set up data-friendly infrastructure onsite and offsite
- Develop green/renewable energy solutions
- Conduct energy audits
- Develop energy-efficient models
- Smart grids and Smart Cities development
Since energy has its applications across industrial, commercial and residential areas, there are diverse job opportunities. Energy analysts work for both private and public sector companies operating in electricity, oil and gas, wind, solar and all other forms of energy. A few career options as energy analysts are mentioned below:
- Energy Management Researcher
Energy management researchers collect and analyse data from various sources to provide information that can be useful to bring efficiency, safety and sustainability in the energy sector.
- Energy Auditor
Energy auditors are responsible for inspecting buildings and structures to determine the sources of energy for optimising energy use and to promote energy efficiency. However, there are certain energy data centres such as, solar or wind which is difficult to access physically for audits. In such cases, energy auditors are required to tap into databases from a remote location and conduct the audit.
- Climate Change Analyst
Climate change analyst collects and evaluates data related to weather conditions, ocean temperatures, greenhouse emissions, glaciers, pollution and anything that impacts climate. They create models, charts, graphs, tables and reports from complex and raw data. The information generated by them is used for energy, environmental agencies, corporate entities in the industry, government, policymakers and civil society.
- Renewable Energy Analyst
The share of renewable sources in meeting global energy demand is projected to grow by one-fifth in the next five years to reach 12.4% in 2023. There is a dire need for renewable energy analysts who can measure renewable energy business modelsand create sustainable energy models.
There is no doubt that energy analytics as a sector is poised for exponential growth and will create lucrative career opportunities.