Adopting a digitally connected grid in 2024
An energy and cleantech outlook for the year from Blueprint Power’s CTO
By Nick Schmidt, Chief Technology Officer, Blueprint Power
The clean energy industry has a good head start for 2024 coming off the momentum and progress generated in 2023. The world has been advancing emissions regulation, incorporating technology into energy consumption, and adopting a digitally connected grid. It’s an exciting time to be in our industry, and I’m eager to share my thoughts on even more progress for this year.
Recapping the next steps in policy changes
Last year was an active year in climate regulation on a state and federal level, as well as on the global stage. This included the first full year of the U.S. Inflation Reduction Act, which supports clean energy consumption while providing financial incentives to those spearheading these projects. As we move into 2024, we will likely see some of the regulations and tax codes updated to reflect the specifics of the Inflation Reduction Act. Additionally, countries like Canada, France, and Germany are looking to funnel finances into the sector the way the IRA did in the United States. These conversations and movements continue demonstrating demand for clean energy policy and solutions and their economic competitiveness.
Local Law 97 in New York is another law we are keeping an eye on, and it goes into effect this year (learn more). Boston’s Building Emissions Reduction and Disclosure Ordinance (BERDO) takes hold in 2025. We anticipate other U.S. cities will follow suit with similar legislation.
Whether it’s federal, state, or local law driving action, the local regulations regarding interconnection, permitting, and assessors’ training need to catch up to ensure that complying with these laws is as actionable and as efficient as possible.
Embracing technology that enables a digitally connected grid
In addition to policy, it’s exciting to also see the momentum that technology is getting in the industry as we move toward a more digitally connected grid. Our proprietary technology and in-building analytics for commercial buildings are just the first step in the direction of decarbonization. Having accurate data is key to potentially harnessing flexible energy capacity and reimagining its value for the good of building, the grid and the planet. Programs like demand response rely on quality data to be effective on both the financial and sustainability sides. The demand for the technology that enables this data collection and analysis is there, as we’ve seen an increase in adoption this past year. But standardization related to data formats and security is needed to enable scale and compliance across the grid.
Building the Green Workforce
We are entering this year in a strong position to keep the energy transition going. Customer demand is high, lawmakers are facilitating opportunities, and technology can accelerate us toward net zero goals. However, the workforce to execute is not large enough. An unprecedented number of green energy projects are in the queue, and more workers are needed to bring them to fruition and keep them online.
According to the Office of Energy Efficiency & Renewable Energy, “clean energy job creation and growth are on the rise as more renewable energy and energy efficiency technologies become part of the U.S. power system.” Investment in clean energy infrastructure means investing in workers to do those jobs, leading to new opportunities for many families.
Cleantech’s impact in 2024
To sum it all up, the cleantech industry is seeing great strides in demand, policy, and technology, but we may see a brief pause in 2024, as it's also an election year. It will be interesting to see how things shake out and what projects continue to push along. I’m excited to check back in twelve months and see what has come to pass. To follow along in real time, be sure to follow Blueprint Power and myself on LinkedIn.
This information may contain forward-looking statements. Any statements that are not historical facts, including statements about bp's beliefs or expectations, are forward-looking statements. These statements are based mostly on publicly available information, estimates and projections and you should not place undue reliance on them. These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual future results and trends may differ materially from what is forecast, suggested or implied in any forward-looking statements herein due to a variety of factors. Factors which could cause actual results to differ from these forward-looking statements may include, without limitation, general economic conditions; conditions in the markets; behavior of customers, suppliers, and competitors; technological developments; the implementation and execution of new processes; and changes to legal, tax, and regulatory rules. The foregoing list of factors should not be construed as exhaustive. bp disclaims any intention or obligation to publicly or privately update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
