As the world continues to grapple with the potential of climate change, new technologies and regulations are being developed to ensure that we are using energy more efficiently and sustainably.
Read on to discover five trends that will be worth watching in the energy industry in 2023.
Greater Focus on Renewable Energy Sources
The renewable energy sector has been booming for years now, but it’s expected to continue its rapid growth into 2023. Countries around the world are investing heavily in solar, wind, and water power as alternatives to traditional fossil fuels. This shift towards renewable sources of energy is projected to reduce emissions in the United States by up to 40% by 2030.
Efforts from major energy industry players will likely be bolstered by legislation such as the Inflation Reduction Act, according to trade publication Power.
“The Inflation Reduction Act will rapidly accelerate the decarbonization of the energy sector,” Michelle Fay, a partner in the Energy, Sustainability, and Infrastructure segment of consulting firm Guidehouse, told POWER. “We expect it will accelerate the deployment of clean energy and adoption of EVs [electric vehicles] while driving newer technologies, like hydrogen, down the cost curve.”
Improving Storage Technology
One of the key issues facing renewable energy is storage capacity. Without adequate storage technology, renewable sources such as solar and wind can be unreliable due to their intermittent nature.
Despite the limitations of the past, improved battery technology is making it easier than ever before to store excess electricity generated from renewable sources until it’s needed later on. This means that renewable sources can become much more reliable over time as battery technology continues to improve.
Smart Grid Infrastructure
Smart grid infrastructure is another important trend in the energy industry that will continue into 2023 and beyond.
The rise of smart grids is driven by the need to build adaptable, modern energy grid infrastructure, according to a report from Transparency Market Research that estimates the smart grid market will “grow at a compound annual growth rate of 17.8% between 2021 and 2031.”
Smart grids use advanced sensors and automation systems to increase efficiency and reduce wastage in power distribution networks. This helps utilities better manage their resources while also increasing reliability by reducing outages caused by issues such as overloaded circuits or equipment failures.
Autonomous Energy Systems
Autonomous energy systems are another trend that will gain traction in the coming years due to advances in artificial intelligence (AI) technology and machine learning (ML).
These systems allow utilities to monitor their operations autonomously, which helps them identify areas of improvement and optimize performance with minimal manual intervention required from on-site operators and technicians.
This decrease in required personnel could potentially reduce labor costs while increasing safety since fewer people need to be involved in hazardous situations such as working around high-voltage lines or inspecting maintenance sites manually.
Tightening Up Cybersecurity
A final trend that will shape the future of the energy industry in 2023 is an increased emphasis on robust cybersecurity.
As utilities become increasingly digitized through smart grids, autonomous systems, and connected devices, they become vulnerable targets for cyber-attacks.
To protect against these threats, businesses must invest heavily in cybersecurity measures such as encryption technologies, firewalls, anti-malware software, and other safeguards. By implementing these measures early on, companies can keep their data secure while also ensuring compliance with regulatory standards.
Jasper AI assisted a Breaking Energy writer in creating this article.
