Energy

Powering the Future

Image of solor panels - New Technology & Enviornmental Concerns

New technology, environmental concerns and consumer demands are key agents of change across the energy industry.

Drivers of Change

Many forces are shaping the future of energy exploration, production and consumption. Population growth, urbanization and industrialization are all creating pressure on energy resources, while the dependence on fossil fuels to drive cars, fuel power stations and heat homes is now being challenged by the rise of renewable energy sources and the pressing need to preserve the planet.

There is little doubt that burning coal, oil and gas is contributing to greenhouse gases and climate change, so government policies and business practices worldwide are aimed at limiting carbon emissions. Mass digitization, big data, artificial intelligence and machine learning and other new technologies are dominant themes and business disruptors across all industries, and energy is no exception.

With new technology we are seeing the development of ever more personalized and refined services. Energy sources are diversifying and delivery is becoming more bespoke and intelligent, from electric and autonomous cars, to connected homes, solar solutions and predictive analytics. At the same time, geopolitics and security issues, particularly the threat from cyberattacks, are having a significant impact on the way the energy sector is developing.

Opportunities

New technology and work practices are the biggest opportunities across all sectors. Thanks to the rise of big data, digital automation, artificial intelligence and machine learning, energy explorers and producers can reposition themselves and develop more environmentally friendly ways to extract and deliver fossil fuels.

More significantly long term, they can also reduce the dependence on fossil fuels by developing wind, solar, hydro and geothermal alternatives – just some of the growing variety of renewable and cleaner options. Equally, technology will improve the way technology is consumed, with the familiar on-demand model being replaced by more sophisticated systems that focus on individual needs and intelligent profiling. This will bring a greater control and help to reduce waste.

Technology will improve the way technology is consumed

Threats

The two big questions facing the energy sector are where will we get our energy from in the future and how do we minimize the damage from carbon emissions? The depletion of fossil fuels as much as the effects of climate change and pollution poses a long-term threat. Sustainability is the crux in both cases.

It is clear that the energy sector must transform itself

And when you add the threat from geopolitical uncertainty, the pressure from urbanization and population growth, changing user requirements, and increasingly the need to forestall cyberattacks, it is clear that the energy sector must transform itself and develop new energy sources while finding better ways to deliver traditional services.

Strategic Imperatives for Success

Success requires the ability to recognize and respond to host of social, environmental, economic, political, and technological developments. Technology is the single greatest strategic imperative, and those who fail to explore the opportunities presented by big data and industry automation are certain to be the losers. Equally, and contingent on technological progress, is the need to protect the planet and halt the devastating toll from burning fossil fuels.

Energy providers must focus on renewable solutions as part of their energy mix, and improve their methods of exploration and production for coal, oil and gas. Rising populations and growing urbanization are feeding the hunger for energy, and this must be met by innovation and variety rather than more of the same. We must satisfy increased demand with energy sources that comply with global agreements to reduce carbon emissions and which don’t accelerate climate change. The energy sector must also take steps to protect itself from cyberattacks, particularly as our digitally connected world increases vulnerabilities in the value chain.

Energy: Up close

The drive to exploit new technologies and minimize environmental impacts is a common theme across all industry sectors.

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Energy

Oil and Gas Equipment & Services
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Energy

E&P
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Energy

Midstream
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Energy

Refining
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Energy

Utilities
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Energy

infrastructure
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Energy

Energy Producers
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Energy

Utilities, Alternative Energy and Contracted IPPs
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Energy

Global Integrated Energy
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Energy

International E&P and Oil Field Services
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Energy

Utilities
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For additional insight into the forces of change impacting the Energy Sector, read the full Imagine 2025 report.

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