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To paraphrase the work of The Animals, new energy market players are set to be the ruin of many a traditional energy value chain. Many distributed energy players, like Sonnen, are on the rise. These players are starting to redefine the energy market, generating value through the supply of energy services and autarky amongst end-users. We’ve found that many firms are scrambling to keep up with this shift to new distributed energy business models, and risk being left in the dark as the sun sets on the old energy market paradigm.
Spend your life in energy autarky
Much like the man of steel himself being confused for what he’s not, heating manufacturers are increasingly being confused for what they used to be (see: boiler manufacturers). That is, they’re increasingly moving away from their traditional manufacture-only role as a result of the broader energy market shift towards distributed energy. As I’ve said before, this shift is resulting in large disruptions in the energy market, with many firms being forced to reconsider their existing business models and re-evaluate their likely future opportunities for value creation. Incumbent heating manufacturers are no different; with their core markets under threat by new entrants they are increasingly searching for a hero to save them. Alas, in the absence of superman, they’ll probably have to save themselves.
Tastes in the energy sector are evolving, with lots of talk about the dash for the provision of services in the utility market (although in some markets it’s more like a slow, Sunday morning stroll). A key objective in our work at Delta-ee is simplifying this energy market transition for our clients, distilling this often complex topic down to the key elements.
Changing tastes in the energy market
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