2012-06-08T23:03:00.001-07:00

The importance of effective demand side energy management

The need for energy management originates from the axiom of economics i.e. managing limited resources in the face of unlimited wants. The world as we know it has limited resources of producing energy where as the demand / usage of energy is always soaring. The increase in demand for energy usage is directly proportional to the growth in economic activity and population in the world. The global primary energy supply in 2008 was 143,851 TWh and the end use of energy in the same year was 98,022 TWh. The difference, 32% accounts for energy losses which aggravate the situation even further. The primary source of energy has been fossil fuel as indicated in the global energy mix consisting of: oil (36%), natural gas (24%), coal (28%), nuclear (6%), hydro (6%) and renewable energy such as wind and solar (about 1%). This doesn’t auger well for our environment as the world is beginning to realize the impacts it has on global sustenance. Furthermore, global energy demand is expected to be about 30% higher in 2040 compared to 2010 at a time when the global population would have surged to 9 billion coupled with more than double economic activity. (Exxon Mobil)

All this will translate into increased investment in energy-supply infrastructure worldwide which according to IEA is expected to reach an amount of $16 trillion, during the period 2001-2030 (or $550 billion a year). Out of this, a predominant share (60%) of investment activity goes into the electricity sector as the need for energy to make electricity will remain the single biggest driver of demand. By 2040, electricity generation will account for more than 40% of global energy consumption. (Exxon Mobil)

Therefore, while efficiencies in power generation and prevention of losses in transmission and distribution pose a huge challenge in this situation the world needs more aggressive approach towards taming our electricity demand.

The scenario above accentuates the importance of effective demand side energy management practices that may involve both financial incentives and education & awareness programs. The underlying principle for energy management is to encourage the consumers to modify their usage patterns to become sustainable for the world while they see more benefits in achieving this goal.

Demand side energy management is not altogether a new phenomenon; it was first coined and used during the time of energy crises in the years 1973 and 1979. Energy management impacts directly on the cost of enhancing and improving capacities in facilities.

Traditionally, energy management had been thought of in the realm of energy efficiency and conservation programs while leaving out considerations regarding electricity price variations as a tool to shape demand patterns. Such programs couldn’t therefore realize the fruits of true energy management thus hampering the eventual success of all such efforts. Price responsiveness programs have come forward as the most potent tools to change consumer demand patterns for electricity consumption and have thus resulted in important breakthrough in successful energy management implementations. Thereby, consumers are seen to react differently with variations in the electricity tariffs for usage at different times of a day, month or season.

This has prodded many developments in the area of metering technology to make available real time or near real time data based on which the consumers can perform energy management effectively. The underlying principle is to inform the users with as much data as possible at smaller intervals of time so that they can monitor how their usage varies at a time of day, and sees how it impacts their cost of electricity usage. As a result the goals of energy management are achieved with higher levels of success.

This can’t have been possible through the old school method of measuring energy usage and cost once a week or a month by reading data manually. The modern approach to energy data collection is thus to fit smart metering systems that automatically record usage at short, regular intervals and communicate it back to the consumer through different means. Through comprehensive energy consumption data availability in real time one can see patterns of energy waste that could be avoided which wasn’t possible to do before.

Energy management solutions from MicroTech Industries

MicroTech Industries is a leading technology manufacturer in energy management systems and smart metering solutions with a major share in electricity meter market in Pakistan - 6^th highest ranked population country with an increasingly high energy demand. It has a wide variety of product portfolio in energy management solutions including sophisticated energy management software, smart meters ranging from polyphase to single phase meters, with whole current, CT & PT type, prepayment and postpayment smart meters. MTI’s smart meter products meet IEC standards and have won three prestigious smart metering certifications such as DLMS / COSEM which is the most popular certification in smart meter communication standards. MTI makes use of the latest manufacturing equipment including SMT technology and has met stringent IEC and ISO standards.

MTI is 100% equity company which has been strong and stably since its inception 1992. It is open to various partnership opportunities that may include OEM, contract manufacturing, reseller partnerships, or direct investment in the sector of smart metering. You may reach the following contact for more information.

For more information please visit: www.mtilimited.com

2012-06-08T23:00:00.000-07:00

Smart meter deployments – a harbinger for true smart grid realization

With the first of electricity meters installed more than 120 years ago no one could have imagined how much the metering landscape would have transformed over the years to what it has become now. With the collusion of communication technology, energy management has become more efficient and practical in real-time. This remarkable development sets the pace for numerous other initiatives being taken in the name of smart grid technology. The energy savings thus promised through customer demand side management has prodded governments to inject funds for utilities to embrace smart grid deployment rapidly.

Smart Metering, allows real time communication of the important electricity usage metrics to the utilities and the customers, thus enabling them both to make important decisions in keeping electricity demand and supply side well aligned with each other. Major utilities around the globe, have therefore embarked on wholesale replacement with smart electric meters at a fast pace.

Hence, for all the good or bad reasons (the latter being debated in the realm of public perceptions towards change) smart grid adoption is soaring. While it is safe to say that there are close to 32 countries that have decided to proceed with smart grid metering products, the global market will have increased by 56% in five years (between 2010 -2015). These projects translate to over 416 million smart meter installations globally by 2020 based on estimates for large national deployments alone and not including the installations performed by smaller utilities in these countries. In value terms, the projected market for smart meter deployments worldwide between 2010 and 2015 stands at $19.5 billion. (Pike Research)

According to another estimate, smart grid global business will touch a remarkable figure of $155 billion by 2018 (Memoori BI Research) which is some 50% greater than the current annual expenditure for all electrical transmission and distribution equipment. This will be set about as a result of infrastructural restructuring on both the supply and demand side for true smart grid realization.

Smart grid projects are moving swiftly across Europe to meet the deadline to convert 80 percent of European households into smart homes by 2020.

With the slowing down of the U.S. metering market ever since the stimulus dollars have been allocated, Europe is arguably the hottest market for the next few years and not to forget the Chinese market.

Trends in smart grid partnership building & investment

Due to the immense growth in smart grid technology and the short window of opportunity that companies have with respect to meeting rapid pace of global metering deployments, many companies are seeking to invest heavily into this sector to bolster their strengths. Some are doing so with the help of building partnerships with other competent technology manufacturers or by investing in such companies.

So much so, in the space of five years, mergers and acquisitions have grown from $134 million in 2007 to $10.6 billion in 2011. This indicates how much the supply side is trying to gear up to meet the challenges ahead of smart grid technology and the demand for smart grid products.

About MicroTech Industries Pvt Ltd

MicroTech Industries is a leading technology manufacturer in smart grid meters with a major share in electricity meter market in Pakistan - 6^th highest ranked population country with an increasingly high energy demand. It has a wide variety of product portfolio in smart metering ranging from polyphase to single phase meters, with whole current, CT & PT type, prepayment and postpayment smart meters. MTI’s smart meter products meet IEC standards and have won three prestigious smart metering certifications such as DLMS / COSEM which is the most popular certification in smart meter communication standards. MTI makes use of the latest manufacturing equipment including SMT technology and has met stringent IEC and ISO standards.

Energy & Power