- What will be the effect of greater decentralization of power generation?
The greater effect of decentralization of power generation will be a balanced control between the suppliers and consumers. Balanced control is huge, because typically it is the power generation companies how have all the “power.” Rather than being stuck with the local power generation company, consumer will have a choice. A choice is huge for consumers. For example the only way in which I can get cable TV is through my local provider, and they are TERRIBLE. They are so bad that I looked for SUBSTITIONS, and I do not have an equivalent one. So my down-grade substitutions are Netflix and Amazon.
A few years ago, that was the same trouble some people may have had with electrical companies. Now consumers are able to compare power generation companies based upon quality, price, any type of green energy factor they like. Hopefully prices drop due to competition, or power generation companies compete for consumers in positive ways.
- What new businesses will evolve in this changing landscape?
As we enter a “changing landscape” I feel that we will see consultation firms evolve and give sustainable advice to businesses or even homeowners. I talked to a great friend/ mentor of mine who is an architect. He told me about how, he had questions regarding a project nearly a year ago, but he was not sure who to go to.
Sustrana is sustainable near Philadelphia, and they have a goal which really convinces me that sustainable consultation firms will evolve.
Our Goal:
To enable 1,000 organizations to build strategic sustainability programs by 2020. -That is huge!
- What business can you see yourself creating to serve this market?
If I were to start my own business, it would be in small scale consulting. People need help and I will be there to give them advice. I would take on residential and business projects, hopefully working on new buildings, but also open to updates existing structures. However I have an open mind and am willing to take on new ideas.
-F. Michael Reichart
I think “The greater effect of decentralization of power generation will be a balanced control between the suppliers and consumers” is very true, and very influencial in the dynamic energy industry. The shift will have implications not only for consumers and generators but will reververate throughout the industry and create many more opportunities in the market. I think this, coupled with the the sustainable tide that is rolling through the industry, will move the industry towards a much cleaner path.
I worked in Telecom after it really began to decentralize after passage of the Telecommunications Act of 1996. Not only could decentralization spur competition, it could force current companies to speed innovation.
I also think that residential customers can use consultants, they will have to be bundled with current contracting services. I could not afford $2500 tomorrow to have a consultant come in. I could justify spending $500-1000 on top of architectural or contracting fees if I was building a new house. This could be a boom to the residential building field.
Michael,
I am brainstorming here, so my idea might be off. Lets says residential customers had different levels of available audits.
Level 1- Full Scale (Blower door, insulation tests, ect) Levels 2 & 3
Level 2- Middle Scale Audit- Lighting, Heating, Level 3
Level 3- Econ Audit- Appliance Tests & Comparison
Feel free to add things, this is 10 minutes of brainstorming.
This is actually a good idea, and could be applied to both a cost structure basis (dependant on how much the customer is willing /able to afford) and an as-needed basis (whether the customer really needs an extensive audit done).
What you mentioned about your local service provider is exactly what Google (to some extent) is trying to eliminate. They want to give consumers an option while expanding their own clientele base. This is where I believe a lot of the growth will happen due to decentralization of energy generation. Ironically, TV services aren’t very related to energy means which is an interesting point. An onlooker can observe that changes in the power generation schematics can alter a completely different service elsewhere.
John,
Thanks a lot for the comment. I am so glad that you mentioned Google, they really are an amazing company.
Hi Michael,
You bring up some interesting points in your post. I agree with you that companies specializing in consulting, especially as we move to decentralized power generation, are going to be in great demand. I had not considered consulting provided to companies such as architectural firms but I think that is a great resource! I think it will be homeowners who could really use some guidance in this area but I’m not sure they will be able to afford the services unless the consulting business is able to collect fees from a source other than the homeowner. What do you think? Where would the compensation come from in that case?
Jennifer
(http://engr312.dutton.psu.edu/2014/11/07/decentralized-power-generation-possibilities/)
Jennifer,
You brought up a great point by saying residential homeowners may not be able to afford consulting services. Perhaps there should be a focus towards either
1. Working with a contractor during new construction
2. Large scale apartments- (homeowners idea just turned into property owners)
3. I am open to other ideas…