The Future of Utilities: Extinction or Re-Invention?

Utilities are experiencing an unprecedented change in their operating environment, which requires a broad reinvention of business models. Historically, a centralized and grid-connected power generation structure positioned utilities in the center of the power system, with a culture focused on regulators and mandates rather than innovation and customer service expectations. This utility business model is now profoundly questioned by the accelerated deployment of distributed energy resources and smart grid technologies, as well as profound changes in market economics and regulatory frameworks. This is a global trend, to which utilities and regulators around the world seek to find adequate solutions.