What is value of going digital?
Arun Mani is a partner in Oliver Wyman’s utilities practice in Houston. He has over twenty years of experience advising utility clients around the world on issues ranging from strategy to business transformation. Prior to Oliver Wyman he was a partner with PA Consulting Group and a managing director with Huron Consulting. His current practice focuses on designing innovative business models and driving organizational change for utilities to future proof their business.
Stephanie Gainger is a senior consultant with Oliver Wyman.
Here’s a sneak peek into the future of the year 2025.
Natalie opens her Energy Solutions mobile app to check her electricity usage. She sees a notification that shows the declining efficiency of her washing machine. Then she sees a notice from her electric utility.
They are offering a one-hundred-dollar rebate on the purchase of a more energy efficient model. They are also offering financing that can be bundled with her regular bill.
Her app sources three competitive options for washing machines that are most cost-effective, given her usage patterns. She is presented with an opportunity to opt into the demand response program. It will delay the start time of the machine to ensure it runs during hours when the cost of energy is low.
The app summarizes all this information. It shows that the purchase of a new washing machine, bundled with the demand response program, will save her sixty-five dollars a year. Knowing that her washing machine will need to be replaced in the near future anyway, she takes advantage of the Energy Solutions rebate and purchases her new washing machine with the click of a button.