Global Information Inc. would like to present a new market research report, "The Smart Power System: Smart Grids, smart meters, home controllers, home automation and energy efficiency" by Business Insights.
Experts are warning developers of smart grids to heed inherent weaknesses that may lead to spectacular failure in this industry, such as economic and reputation risks. As research analysts speculate about the possibility of a smart grid spectacular failure, it is crucial that developers take precautionary measures now to avoid these two key risk areas. Previously, energy providers have directed their concerns towards technological aspects and failures; however, these problems now appear unlikely.
"Economic failure seems, at this point, the most likely reason for spectacular failure. Large-scale infrastructure projects, from the digging of the Panama Canal onward, are frequently plagued by unknowns, often subject to massive cost over-runs, and at times victim to the sudden loss of nerve by their backers," says Paul Marshall, a senior energy analyst at Business Insights. Furthermore, "The difficult with smart grid investment is that the sums involved are so large, the unknowns so great, that it seems one or more projects will turn out to be fatally flawed, financially."
On the precarious reputation of smart technology, the second big risk to the smart grid industry, Paul comments: "The recent furore in California following the introduction of smart billing is an event that needs careful watching. Whether smart billing is accurate or not is of secondary importance to whether [or not] it is perceived to be. If a public perception takes hold that smart billing is inherently inaccurate, that is likely to be a source of major difficult for all future smart grid projects over the coming years."
Find more insight on this critical issue and other key issues facing the smart grid industry in Business Insights new report.
Other key questions addressed in this report:
- Who are the key players in smart grid development at the national and corporate levels?
- What are the key segments that make up the smart grid landscape? How do these match up to business opportunities?
- What new business relationships are likely to be needed in order to optimize smart grid development?