{"id":51741,"date":"2022-06-14T19:23:00","date_gmt":"2022-10-18T19:23:27","guid":{"rendered":"https:\/\/www.salesforce.com\/?p=51741"},"modified":"2024-01-29T13:09:51","modified_gmt":"2024-01-29T02:09:51","slug":"customer-centricity-is-critical-to-australias-future-as-a-renewable-energy-superpower","status":"publish","type":"post","link":"https:\/\/www.salesforce.com\/au\/blog\/customer-centricity-is-critical-to-australias-future-as-a-renewable-energy-superpower\/","title":{"rendered":"Customer-Centricity Is Critical to Australia’s Future as a Renewable Energy Superpower"},"content":{"rendered":"\n

Here in Australia, we have all the natural resources necessary to lead a green global economy, but it is what we do now that matters. We have entered a critical decade where decisions today can make or break the success of our transition to a net zero.<\/p>\n\n\n\n

Aside from the existential climate crisis, there\u2019s an economic and societal imperative not just to decarbonise, but also to embrace Australia\u2019s incredible potential as a renewable energy superpower. <\/p>\n\n\n\n

This country\u2019s economic success story has been built on its position as a world leader in the extraction and export of carbon-intensive natural resources. However, the world\u2019s major economies \u2014 and Australia\u2019s biggest export markets \u2014 are commiting to mid-century net zero targets. When considered alongside increasing threats to energy supply, there is a clear imperative for the country to rapidly transition to a clean energy export economy by harnessing its abundant solar and wind resources to decarbonise its own power sector. In parallel, we must electrify, as far as possible, the high carbon end-use sectors of transport, buildings and industry.<\/p>\n\n\n\n

Globally, an unprecedented level of global capital is flowing toward decarbonisation opportunities and clean energy projects, with businesses\u2019 net-zero commitments driving massive strategic and operational change. <\/p>\n\n\n\n

Encouragingly, many sectors and organisations are moving to accelerate this transition. Beyond that shared end goal, though, is a scattered landscape of varying approaches, speeds and priorities. This complexity is exacerbated by two other significant factors: the disaggregated nature of Australia\u2019s utilities value chain, and the complicated operational implications of intermittent renewable energy sources. <\/p>\n\n\n\n

Australia has everything we need to become a renewable energy superpower, but for the very consumers who will become \u201cprosumers\u201d \u2014 playing a central role in providing critical Demand-side flexibility to the grid \u2013 the road ahead is complex and often confusing.<\/p>\n\n\n\n

Earlier this year, I led a panel at Enlit Australia 2022, speaking with three energy leaders  to learn how different organisations are tackling these challenges. While each had their own unique approach, there were commonalities \u2013 and those reveal some useful lessons for the utilities sector, as well as any leader working within a net-zero commitment.<\/p>\n\n\n\n

Building Trust Through Better, Simpler Customer Experiences<\/h2>\n\n\n\n

The most foundational \u2014 and perhaps most challenging \u2014 theme of our discussion was the need to simplify the user experience. Across the energy value chain and end-use sectors, there are both longstanding and altogether new sources of complexity. <\/p>\n\n\n\n

All three panellists agreed on the criticality of customer and community trust. Telstra Energy\u2019s James Gerraty<\/a> noted that, historically, there had been a \u2018build it and they will come\u2019 mentality in the energy industry \u2014 and that this was changing. <\/p>\n\n\n\n

\u201cThose days are over and we\u2019re [becoming] very customer-led.\u201d <\/p>\n\n\n\n

Although Australia\u2019s energy transition faces many hurdles, losing social licence could stop it dead.<\/p>\n\n\n\n

Ryan Warburton<\/a>, AGL\u2019s General Manager, Commercial and Industrial Customers, put it simply: \u201cTrust is imperative. How do we make the complex incredibly simple and form deep relationships in a dynamic and rapidly changing environment?\u201d<\/p>\n\n\n\n

Unmanaged complexity can lead to inconsistent experiences. And inconsistent experiences are rarely the best way to build trust.<\/p>\n\n\n\n

Megan Fisher<\/a>, CEO at EnergyLab, noted that the fragmented nature of the energy landscape automatically creates big disparities in customer experiences. That can include anything from confusing retail contracts to not knowing who to call when the power goes out. She noted that we can\u2019t change the structure of the market, but we can<\/i> take control of new opportunities to improve customer experience.<\/p>\n\n\n\n

As Ryan pointed out, this opens opportunities for utility providers to drive solutions for customers. <\/p>\n\n\n\n

\u201cTo [meet net-zero commitments], [C&I] organisations are looking to their energy companies, to both understand their current emissions profile as well as forward planning.\u201d <\/p>\n\n\n\n

In March 2022, the US Securities and Exchange Commission (SEC) proposed new rules<\/a> to enhance and standardise climate-related disclosures for investors. This is a timely reminder that, instead of voluntary sustainability reporting, businesses \u2014 across all sectors \u2014 will face increasingly mandated ESG reporting standards. These same businesses, of course, are the C&I customers of energy companies, and will be expecting them to act as partners in provision of emissions and scenario planning insight.<\/p>\n\n\n\n

The emerging Energy-as-a-Service market highlights a further opportunity for energy companies to move beyond commodity supply to true partnership, helping their customers \u2014 both business and residential \u2014 reduce capex and operational risk, as well as benefiting from the new revenue opportunities of demand-side flexibility and energy arbitrage.<\/p>\n\n\n