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Energy system decarbonisation and changing consumer behaviours will create and destroy new markets in the electric power sector. This means that the energy industry will have to adapt their business models in order to capture these pools of value. Recent work explores how changes to the utility business model that include digital, decentralised or service-based offers could both disrupt the market and accelerate low carbon transitions. However, it is unclear whether these business models are technologically feasible. To answer this question, we undertook an expert panel study to determine the readiness levels of key enabling technologies. The result is an analysis of what technologies may hinder electricity business model innovation and where more research or development is necessary. The study shows that none of the business models that are compatible with a low carbon power sector are facing technology barriers that cannot be overcome, but there is still work to be done in the domain of system integration. We conclude that, especially in the field of energy system coordination and operation, there is a need for comprehensive demonstration trials which can iteratively combine and test information and communications technology (ICT) solutions. This form of innovation support would require a new approach to energy system trials.

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Technology is not a Barrier: A Survey of Energy System Technologies Required for Innovative Electricity Business Models Driving the Low Carbon Energy Revolution