The Minister of Digitalization visits Center Denmark for a dialogue on the future of the digital utility sector
24. May. 2024
During the visit, the minister gained insight into some of the challenges facing the utility sector and what Center Denmark is doing to address the development potential. As a non-profit and independent organization, Center Denmark is one of the key players working to promote the development of a data-driven and more cohesive utility sector.
Untapped Potentials for Cheaper Energy and Green Transition
A data-driven utility sector holds enormous potential, both in terms of significant cost savings and a faster transition to green energy. For example, a data-driven approach to district heating operations alone could yield savings of up to 1 billion kroner annually. Similarly, a data-based approach to expanding the electricity grid could save 16 billion kroner annually, partly by smoothing out the power consumption of electric vehicles. Additionally, this could reduce total CO2 emissions by millions of tons.
Green Transition Impossible Without Utility Data
We are on the verge of a transformation of our utility system. The green transition is a pressing issue, and in practice, it cannot be achieved without access to utility data. The fact is that if we continue to operate the utility sector as we have done so far, we will not meet the goals of the transition. It is too expensive and far too time-consuming; data-driven solutions are essential. With data comes digitalization, a more cohesive utility sector, and, in the long run, increased flexibility across the entire system.
During the visit, it was emphasized that we are not currently utilizing our sustainable energy resources to their full potential. A classic example is wind turbines that occasionally stand still – while still being paid. This is a specific case of untapped sustainable energy that can be addressed through a data-driven approach to energy supply.
Several stakeholders, including Dansk Erhverv, the Council for Energy Efficiency Transition, and Dansk Fjernvarme, have previously highlighted the necessity of standardized data and the need for access to utility data across electricity, water, and heating. Center Denmark has developed a proposal for data infrastructure that specifically addresses the need for accessibility and standardization.
Growth and Jobs Follow Digitalization in the Utility Sector
With the innovation hub Digital Energy Hub, a more data-driven utility sector will not only lead to greener and cheaper energy but also foster new digital solutions, job creation, and growth opportunities for Danish businesses. Innovation is therefore a key component of Center Denmark's expertise, and collaborative initiatives are a significant focus of the organization's core mission.