Over the next twenty to thirty years, the Energy System will undergo a massive transition to achieve that eventual 2050 net-zero target of decarbonizing the energy system fully, resulting in a clean, climate-resilient energy transformation.
I have been looking in a short mini-series at the need to structure the Energy System in a very systematic and consistent evaluation as we undertake the changes from a fossil-reliant ecosystem into a clean, renewable one, with the overriding obligation to address climate change.
In this third and final post of this series, I focus on 1. Innovation & Ingenuity, 2. Experimentation & Rapid Pilots, and 3. Leapfrog Opportunities and discuss a value proposal.
Within my first post, “Changing the Energy Ecosystem“, I began to lay out the need to change the energy dynamics by redirecting them away from the existing systems and structures and where I looked at the triggering points of this: 1. Changing the Energy System, followed by considering new 2. Value Propositions (scenario, synthesise, combinations, synopsis, sketches) and then evaluating the 3. Dealing with the different disruption and dislocation points, and 4. the need for rapid learning and knowledge sharing.
In my second post, “Building out the new Energy Ecosystem “, I continued to build out the new Energy Ecosystem. This post focused on triggering thinking for reforming the Business Models within any energy system change and then looked at the necessary resolutions in the impact or implications any new business model will have.
Moving from proven to nascent solutions needs an innovation mindset
So why am I focusing on these? 1. Innovation & Ingenuity specifically, and then on the essentials of building real competencies in 2. Experimentation & Rapid Pilots, and then taking a future building capability with 3. Leapfrog Opportunities.
As I mentioned in the previous post, we need to dismantle the existing energy ecosystem; we are building the new one inside; that is the really hard part; it is full of variability and novelty.
We are replacing proven solutions with nascent ones, perhaps individually demonstrated but not fully connected up in an integrated, designed energy system showing validation and long-term return or resilience.
This is why within this post, my emphasis is on innovation generation, experimentation and the need to look beyond the known and sometimes leap into the unknown. We need an equal emphasis on start-up-driven innovation and rapidly establishing technology-driven solutions.
I have not focused here on the multiple energy solutions available.
They can cover additional concepts like blockchain, big data, microgrids, storage for providing and handling energy or the enormous potential of digital smart “everything” or cover electrolyzers, grid transmission solutions, power generation, electric charging, wind, solar, hydro etc., etc.
The list of innovative solutions seems endless, but this becomes a central point here. If you do not establish a real core innovation capability and set of competencies and capacities to innovate, you run the risk of not optimizing or capitalizing on all the solutions offered today or emerging in the next ten or more years.
Hence why, in any changing Energy Ecosystem, Innovation becomes a central tenet.
Innovation is the energy transition key enabler.
Innovation is the engine that powers the ongoing transformation of the
global energy system. Decision-makers need to identify the optimal combination of solutions, which needs a dedicated team of innovators exploring and exploiting options and validating them systematically.
Innovation needs to build the capability to understand the enabling technologies, investigate fit and innovative business models, and constantly determine different market designs and system operations.
We must recognize today that any energy innovation challenge we face extends to sectors that have not significantly changed for many decades and that do not yet have commercially available low-carbon options.
Technology innovation is the key, but we must make quicker progress through faster innovation.
Energy technology refers to the combination of hardware, techniques, skills, methods and processes used in the production of energy and the provision of energy services, i.e. the way we go about producing, transforming, storing, transporting and using energy.
We require a rapid evolution of the technology mix, particularly in some emerging economies that are just starting out on their decarbonisation journeys. The under-appreciation of these urgent challenges in today’s energy debate is a real concern and why I believe we need to recognize the current Energy Ecosystem is not fit for future purposes.
We need to recognize there are no single or simple solutions to putting the world on a sustainable path to net-zero emissions; it will come from a radical re-assessment of what the future energy ecosystem needs.
I do not want to take this urgency further here; that’s for future posts with a growing recognition that today’s energy transition is falling behind in its goals to achieve net zero by 2050. We do need to speed up and innovate.
So let me return to this third part of my structure to drive an Energy Ecosystem change.
Again I have used mindmaps to reduce content and allow an individual understanding of each idea and what it triggers. This offers the individual a suggested prescriptive framework and course of possible activation, but I stress again, as previously, “the devil is in your details and circumstances“.
Innovation & Inqenuity
Experimentation and Pilots
The capacity and competencies for experimenting and exploring pilots and prototypes become essential to learning and building an innovation capability.
Leapfrog Opportunities
The need to change our energy systems in thirty years is a really short period. It needs to adopt a greater “leapfrogging” approach to technology, business model options, market design and system operations.
Through my focus on innovating for energy, I have placed my point of value on supporting the building out of a structured system that takes the energy ecosystem and builds the essential aspects needed for any energy transition into it.
MY Value Proposal
This dedicated website outlining services, thinking, and structures that can help you formulate a pathway of change in energy perspectives and solutions.
Any Energy Transition needs all its parts to become fully connected. We provide the knowledge and understanding to help connect the parts that lead to fresh business opportunities and growth.
- Our value is in helping to translate the understanding and the decisions needed to provide that critical different perspective and positioned to operate at the front end of the Energy System.
There is a growing urgency in the innovation scope, pace and direction of changes needed. Any change in the energy system needs to have depth and greater knowledge, perspective and activism for delivering innovation intent and helps the positioning in building out your understanding of the Energy journey and our wish to support you along this transition pathway.
The vital “infusion” of innovation in thinking, approaching and building this into the front end of energy provides a greater discovery structure and process that can greatly facilitate the changes, with more informed knowledge, insights and validation of a path to travel.
Contact me if you would like to explore where innovation fits within your energy transition.