Global mobile satellite company Inmarsat has released the results of research that, it says, shows IoT’s ability to deliver cost savings is one of the biggest drivers for deployment in the energy sector.
“Global energy companies are actively investing in IoT technologies to optimise their operations and streamline business strategies in the hope of reducing expenditure and increasing profit,” it says.
“In addition, energy businesses reported that the top benefit they expect to see from the deployment of IoT is greater workforce productivity (48 percent), further underlining the important role that IoT will play in improving the profitability of operations within the energy sector.”
The study was undertaken by market research specialist Vanson Bourne which interviewed 100 energy companies from across the world for Inmarsat’s ‘The Future of IoT in Enterprise’ report, which also examines IoT in the transport mining and agricultural sectors.
Gary Bray, director of energy at Inmarsat Enterprise, said: “The energy industry is at a fundamental crossroads. The volatility in the price of oil and rapid adoption of electric cars and renewable technology are just a couple of the factors putting serious pressure on some energy businesses’ margins.
“Rather than energy businesses extracting as much fuel as possible, we are increasingly seeing a focus on profitable volume, which can be extracted and distributed at the lowest possible cost to boost margins and improve profitability. It is no surprise therefore that oil and gas producers are looking to the technologies of digital transformation to help them reduce these extraction, distribution and operational costs.
“Rapid digitalisation of the sector will create an ‘Internet of Energy’ network that incorporates interconnected, intelligent measuring and monitoring systems with real-time visualisations of consumer usage data. This can be integrated into automation systems that instantly adapt to fluctuations in availability or demand and enable predictive maintenance of assets that will extend their lifespan, maximise resources and minimise wastage.”
