2020 Innovation Rory Finegan Gerry Cassells Brian Andrews Maria Doyle Brid Considine Brendan Maguire
◦ Eirtricity founded in 1997 by Eddie OConnor Renamed Airtricity in 2002 • Sold in 2008 for over €2billion • Owned by Scottish & Southern Energy, SSE • Supplying Gas as well as Electricity since May 2010 • 300 staff, 375,000 Irish residential customers◦ Projects across Ireland, U.K., Europe and China • Mostly onshore and offshore wind farms but also hydro, marine, biomass and solar projects
◦ To provide the energy people need in a reliable and sustainable way◦ Large player committed to renewable energy generation, profits circa €2billion p.a., investment in renewable energy projects of approx. €1billion p.a.◦ Interested in buying the ESB and Bord Gais if Irish government will sell
Irish Electricity Market SizePeak Demand in Ireland is approx. 5,000MWRenewable Sources approx. 14%, mostly windDeregulation achieved during 2011Target is that 40% of electricity consumed in Ireland is from renewable sources by 2020
Renewable Energy Sources◦ Wind Power, Onshore and Offshore Wind FarmsJune 2010 1,379 MW Wind capacity installed. Potentially 6,000 MW Capacity by 2020◦ Hydro PowerGov. incentives to build hydro power plants◦ Tidal and Wave PowerTargeted 500MW of ocean energy by 2020◦ Geothermal EnergyHeat stored in the ground◦ Solar EnergyTransform energy into heat with high insulation◦ Biomass,Wood, Animal Waste◦ Bio-fuelBiomass upgraded to provide bio-energy. Wood Pellets, Straw
Airtricity PESTLE AnalysisPolitical Technological Government target of 40% of R&D activity electricity needs from renewable Rate of change in alternative renewable energy by 2020 technologies Renewable energy sources part of Energy management for consumers strategy to reduce Co2 emissions Security of supply, less reliance on oil EnvironmentalEconomic Global warming Fully deregulated market may attract Renewable technology seen as green new entrants into Supply market technology Cost of Renewable energies more expensive than conventional sources Cost of grid connections Legal EU directives & legislationSociological Commission for energy regulation Opposition in some areas to wind responsible for open market in turbines electricity Attitudes to green agenda
Pyramid of EU Influences Commission Energy Dept of Communications, Energy & Natural Resources Commission Environmental for Energy Lobbyist Regulation Organisations Suppliers: ESB, Peer Groups Airtricity, Bord (Environmental) Gais Families & Businesses
Point of View40 year old familyman, budgetconscious, lookingfor competitive dealsfrom householdutility suppliers.
David, 40 At least we can afford our househusband & fatherSpending time withMy kids Have to budget carefully Holidays in IrelandGood value for money
Our Innovation Approach for Airtricity Renewable Sources, huge potential for innovation in the energy generation part of the business, quite technical. Products, requirement for innovative sales and delivery strategies to compete for and retain customers in the deregulated market.
Airtricity Financial Customer Deposits Invested in Renewable Energy Interest set off against bills €20k invested = free electricity
Airtricity Green Joint initiative with National Lottery “The Green Card” Profits invested in Green Energy Projects and R&D Propel Ireland to become a world- leader in Green Energy
Airtricity Energy Management Managing Energy Requirements for large campus businesses IBM Dublin
Airtricity Geothermal Utilising peatlands through Ireland. Generate electricity on a large scale.
Airtricity 3rd World Allow 1% of bill to invest in renewable energy in lesser developed organisations. Output free of charge to users e.g. Hospitals, Schools
Airtricity Automotive Electric car rental in urban areas. Joint venture with an electric car manufacturer. Consolidate Airtricity’s image as the leading supplier of providing electricity by renewable energy sources.
Airtricity Renewables Generate electricity with use of wind turbines and solar power in the community. Partnerships with householders, businesses and community groups. Excess surplus sold onto National Grid through smart meters. Installation costs offset by the price of surplus electricity.
Focus Group Focus Groups Class participants involved in Focus Groups on Innovative Airtricity Products
Focus GroupAirtricity Financial Customer Deposits Invested in Renewable Energy Interest set off against bills €20k invested = free electricity