Alongside the expansion of large wind power plants, another energy market is quietly growing: Decentralized power generation behind the meter is becoming increasingly important – driven by rising demand, supply and cost uncertainty and the desire for independence.
The trend in the energy market shows a clear direction: large wind farms are increasingly dominating the landscape and making a significant contribution to the energy transition. However, parallel to this development, the market for decentralized electricity production is also growing – a sector that is becoming increasingly important not only due to the rising demand for sustainable energy, but also due to increased use «behind the meter». The market for these decentralized solutions has already reached a volume of over 330 billion dollars and will reach the four-digit billion range in the next ten years.
A realistic example of this development could be a production company that grows vegetables and regularly requires large amounts of electricity to cool its storage facilities. The uncertainty of the electricity supply and fluctuating electricity prices pose major challenges for the company. Added to this is the need to decarbonize its business. In order to escape dependence on external electricity providers and rising costs, the company could rely on a sustainable, self-sufficient power supply from solar and wind energy. The combination of solar and wind energy offers an ideal solution for maximizing renewable self-generation. While solar energy provides electricity primarily in the summer and during the day, wind energy can secure the supply especially in the winter months and at night in cloudy conditions. These complementary generation patterns reduce fluctuations in electricity production and enable a more reliable energy supply without having to rely on large storage capacities. This makes the use of renewable energies even more efficient.
Another advantage of decentralized electricity production is the greater independence from external electricity suppliers and thus also increased security in energy costs. This is particularly important in times of unstable electricity markets, when external suppliers may not be able to guarantee consistently reliable and cost-effective supplies. This creates planning security and makes companies more competitive in the long term.
Another significant advantage is the positive effect on the image of a company that relies on sustainable energy sources. The decision to rely on renewable energy such as wind power is increasingly appreciated by customers, partners and the public, and in some cases even demanded by their customers. Companies that generate their own energy sustainably position themselves as responsible players in the energy transition and thus strengthen their brand image.
Overall, it is clear that distributed in-house electricity production offers a range of benefits for companies – from securing the energy supply and cost certainty to decarbonizing the business and improving the company’s image as a pioneer in sustainability.
