Digitalization in Energy Sector
The digitalization in energy is increasing and significant shifts in the intelligence of digital technologies is enhancing operations and business continuity in almost every sector. Cutting-edge digital technologies that are driving transformative change is set to rapidly advance the world’s decarbonization goals.
Technologies facilitating new market opportunities, such as Artificial Intelligence, Machine Learning, Advanced Data Analytics, Internet-of-Things (IoT), Big Data, Cloud Computing are establishing new business models allowing to generate, deliver and consume energy in a more sustainable fashion. These innovative technologies are the key to the future growth and increased efficiency of the energy sector.
The oil and gas industry is embracing digital technology to improve efficiency and workplace safety, as well as minimize the carbon footprint of the industry. It is beginning to achieve both incremental and step-change improvements to their operations that span upstream, midstream and downstream sectors. Digitalization enables process improvements, cost reductions, production increase and increased customer margins.
Smart refineries, robotics, AR & VR innovations, and digital twin modelling, among others, are making operations more effective and efficient.
Safety and Security are top priorities for Oil & Gas operators. Companies are increasing investments in digital transformation to address commercial, operational, and existential threats. The study states that spending on security services within the sector will increase by 8.1% between 2021 and 2030 to reach $5.64 billion per annum.
Data analytics allied with IoT platforms have become essential in identifying issues ahead of time such as pipeline degradation, wellhead performance, and pollution from gas flares.
The power industry is undergoing a digital transformation driven by technological advancements and consumer behavior changes.
Electricity is the fastest-growing source of final energy demand, and will continue to outpace growth in total energy consumption over the next 25 years. The International Energy Agency (IEA) says that digital technologies could save $1.8 trillion of power grid investment globally by 2050 by extending the lifetime of grids, while also helping to integrate renewables and minimize supply interruptions.
Digitalization is already improving the safety, productivity, accessibility and sustainability of energy systems. It will help power sector to transform into a sustainable ecosystem.
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