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5 trends the power sector will see this year, 2022


Jan 11, 2022

With the challenges still ahead, promoting clean energy, improving the grid reliability, resiliency and maintaining the security of the grid while ensuring low costs remains the main goal.

New Year brings new hopes and new aspirations. After the challenges faced in 2021, recovery has been positive and continues to grow throughout all the sectors. There has been a 3.8% rise in sales of electricity since the pandemic – induced recession. Extreme weather conditions were a crisis challenging the grid. With the challenges still ahead in 2022, promoting clean energy, improving the grid reliability, resiliency and maintaining the security of the grid while ensuring low costs remains the main goal. The 3D transformation includes : decarbonization, digitalization and decentralization. Let’s take a look at the five trends that will most likely have a huge effect on the power industry. - SUSTAINABILITY As of 2021, according to, 46 out of 54 US investor-owned utilities had committed to reduce carbon emissions, many by 2050. And nearly three out of four customer accounts were served by an entity with a 100% carbon reduction target—either an individual utility or a utility owned by a parent company with a 100% target.

More utilities will continue to develop decarbonization goal and targets in 2022 maintaining consistency and becoming more detailed in implementing those plans - RESILIENCY Since the unpredicted extreme weather and climate conditions in 2021, focus towards utility resiliency is prioritized for 2022. A survey states that 51% agree that utilities reliability was affected by extreme weather and 38% saw the impact unchanged. Planning resilience is key. Though the future is uncertain, utilities continue to see ahead and prepare. - DIGITAL TRANSFORMATION According to a 2021 Deloitte survey of networking executives across industries globally, 58% of respondents are already deploying 5G or running pilots. Twenty-six percent of our power and utilities industry survey respondents report that 5G communications technologies are incorporated into their company’s strategy, while 36% plan to incorporate it.

Utilities will profit from 5G communication technologies and cloud. - SMART GRID OPERATIONS To meet its decarbonization targets, utilities will turn towards flexible load programs. 90% of the survey respondents have agreed so. According to microgridknowledge, Load flexibility saves the most money where it reduces need for generation. In 2030, that amounts to $9.4 billion a year, which is 57% of the total value of load flexibility to reduce energy waste, emissions, and electricity costs and improve resilience. - ELECTRIFICATION Electrification is the new future. Hoping that in 2022, increased demand electricity could be handled by the grid. Building electrification has already been taken and is impacting the utility planning as most have committed to it this New Year. Investing in efficient energy saving devices can also help for a better tomorrow.

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