Energy-as-a-Service: An Intelligent Business Strategy
Although Energy-as-a-Service (EaaS) isn’t a brand new concept, it is still an emerging market. The energy marketplace is becoming more complex. In order to be successful, businesses need to find a way to navigate through all the changes. The expertise needed to manage shifting regulations, emerging technologies, and advancing business models, is vast. This is where EaaS becomes an intelligent business strategy.
EaaS companies are able to view energy consumption as a whole using data collected through sensors. The goal of EaaS companies is to reduce complexity, cut costs, boost returns, and increase sustainability. According to Maryrose Sylvester, CEO of Current by GE, “Think of energy-as-a-service as the great simplifier – it shifts the burden (management, implementation, updates, ongoing technology evaluation, and selection) to the vendor, helps your enterprise run better, and saves you money with little or no capital expense.”1
Be Strategic with EaaS
An Energy-as-a-Service company can analyze a business’s data and has the expertise to develop the most valuable strategy possible. A big picture approach using extensive knowledge in the newest technologies, as well as regulatory requirements, means a customized plan can be created for every business in every location. A comprehensive approach includes energy savings, energy creation, and energy storage.
“Companies need to manage all this complexity with scalable, holistic solutions that can keep pace with change while becoming greener, more efficient, and more nimble. They need to do it without breaking the bank. Only one way offers these benefits: energy-as-a-service.”1 Instead of investing capital in large equipment upgrades and technology that will change, EaaS companies are providing their services for a consistent monthly payment. Constant monitoring and management helps businesses stay current with the newest technology and continually improve their energy systems.
Steven Avadek, director and global head of sustainability for Citi Realty Services at Citigroup, spoke about EaaS at the 2017 Environmental Leader Conference. “This is a completely different way of looking at energy,” Avadek told Energy Manager Today. “A lot of firms could take advantage of this. They may not be the large manufacturers with large fixed sites, but firms that want to engage, be green, and don’t know how.”2
1 News & Articles. (2018). Currentbyge.com. Retrieved 27 November 2018, from https://www.currentbyge.com/ideas/
2 Danigelis, A. (2017). Energy-as-a-Service Opportunities Expanded in 2017. Energymanagertoday.com. Retrieved 27 November 2018, from https://www.energymanagertoday.com/eaas-expanded-2017-0173821/