As the year of 2019 could not foresee what 2020 would bring, also every single industry could not predict the impacts of a pandemic in its trends. The energy sector is no exception, with different variations in the electricity demands, according to its source. As fossil fuels’ consumption has dropped in 2020, renewables have maintained, in general, a positive growth.
One of the major effects of the worldwide lockdowns lived during the pandemic was the drop in global electricity consumption. As it is expected to rebound in 2021, also renewable energy demand is expected to continue increasing in 2021, as it happened last year, along with its investment. If the collaboration efforts across this sector will, presumably, continue to increase, we’re looking to the rise of new business models and the evolution of energy transition.
Projected global change in power supply, 2020 and 2021
IEA, Projected global change in power supply, 2020 and 2021, IEA, Paris https://www.iea.org/data-and-statistics/charts/projected-global-change-in-power-supply-2020-and-2021
Meet Free Electrons
Free Electrons program is now on its fifth edition, so there is a very small chance you’re reading about it for the first time. Nevertheless, you should know that it represents a vision of a future where smart, clean and accessible energy is to transform lives everywhere. Considering that renewables are clearly on the rise, we’d say we continue to follow the right path, and a collaborative one:
It is an Open Innovation energy program
Free Electrons 2021
This means that the selected startups for this edition will work side by side with leading energy utilities. They will work together on pilot projects, commercially deploy products, facilitate investment opportunities and learn from each other.
Free Electrons 2021is addressing several challenges in the energy sector. The way to do it? Innovation.
These are the challenges that the participating startups will be tackling:
Clean energy
Energy management and efficiency
Customer solutions
Smart grids and energy communities
Energy storage
Energy access
Mobility
Customer and utility resiliency
Facility and asset management
Cooling solutions
Connectivity & Communication solutions
The Application phase is now ongoing, until March 29.
After an online evaluation, the selected startups will showcase their solutions and their teams through a fast-paced pitch event and participate in intense one-on-one meetings with utilities. The closing of the Bootcamp will see successful startups go on to participate in the remaining modules.
One of the characteristics that make Free Electrons a huge opportunity for startups is that it is truly global: the startups joining the program will get a chance to work with 10 global utilities, with experience and big markets under their belt.
Let’s get to know two of the utilities that are part of the Free Electrons utility alliance.
Electricity Supply Board (ESB)
ESB is Ireland’s leading energy company, operating across the full spectrum of the electricity market: from generation, through transmission and distribution to supply. In addition, ESB extracts further value at certain points along this chain: supplying gas, using their networks to carry fibre for telecommunications, developing electric vehicle public charging infrastructure and an international consultancy arm which has worked in 120 countries globally.
We spoke with John Mckiernan, Head of external collaboration at ESB, who gave an overview of ESB’s participation in Free Electrons: it’s their third edition, and they are still working with the startups they piloted with in the first two editions – working with both towards low-cost, low-carb energy – as their customers expect.
John highlighted the sharing of information between all the utilities as a key factor to the success of Free Electrons:
No utility has a monopoly on wisdom. So, we’re actually comparing and contrasting, shoulder to shoulder, with the other utilities. It’s the proof of the pudding. It’s another facet of Free Electrons that is allowing us to see more and understand more.
As an advice for startups joining open-innovation programs, John advised them to “learn as much as possible about the partner” and their needs to make the matching easier and “keeping it simple”.
Watch the whole interview here:
Energias de Portugal (EDP)
EDP is an energy producer, distributor and retailer with around 12 million customers in Portugal, Spain and Brazil. EDP is also the 4th largest wind power producer in the world. The renewable power business is present in 14 countries including the US, Brazil, Spain and the UK.
We spoke with Luís Manuel, Executive Board Member at EDP Innovation, who told of EDP’s journey at Free Electrons. In the first edition, they were still learning the process, but by the second edition, they had doubled the number of deals made in the program – they amount to over 12 pilots by now.
What he says has been consistent in the editions is the fantastic community spirit that is lived in Free Electrons, that they have embraced fully:
I think, above all, what we try to make sure is that as much opportunities as possible for our business units’ people to interact with the startups. We believe that is key – engaging people is really what makes business happen.
He believes that what is changing in the industry is that is looking towards things that are not usually associated with the energy sector: data management, artificial intelligence and digitization processes. So, EDP is looking for a mix of solutions – between traditional energy fields and this technological revolution.
Watch the whole interview here:
The second module of Free Electrons is arriving – it will happen on the 25th – 28th of June in Hong Kong. In this module the teams will deep dive into the details of each others’ solutions.
We also expect to see a better definition of the scope of potential pilot projects, and a strong connection with the local ecosystem as the module offers an immersion in the world’s leading cleantech innovation ecosystem, connecting startups to the epicenter of the technology world.
Free Electrons, the first global energy startup accelerator program, that connects the world’s most promising energy startups with leading utility companies had its first Module last week, from 21st – 24th of May, in Columbus, Ohio, the home of one of the utilities that backs the program (American Electric Power).
After a Bootcamp where the partners and startups got to know each other – utilities getting to know in detail the potential of having these innovative disruptive solutions applied to their businesses and Startups collecting valuable feedback about their products, features and roadmaps – Module 1 was all about creating the first pilots.
The right number of pilots
After one-on-one meetings and sharing of pilot tools by the Beta-i team, the startups and utilities collaborated on co-designing their pilot project, kicking off the project on the very next day.
The fit between the startups and utilities was so great that they ended up doing more than one pilot per startup, racking a total of 27 pilots among them.
The pilots tackle different issues from green-energy certification to asset management powered by AI to optimization of renewables forecasting, and address both final consumers, SMEs and other entities involved (insurance, for example).
The Next Stop
The next stop in the Free Electrons program will be Hong Kong, from 25th to 28th of June. With some collaborating experience under their belt, the teams will deep dive into the details of each others’ solutions.
The progress and findings of the pilots kicked-off in the first modules will be presented – as sharing knowledge and findings as always been key in Free Electrons program.
Startups and utilities will now have the chance to tailor their projects a little better to the utilities’ needs and kick-off more pilots.
We also expect to see a better definition of the scope of potential pilot projects, and a strong connection with the local ecosystem as the module offers an immersion in the world’s leading cleantech innovation ecosystem, connecting startups to the epicenter of the technology world.
