The energy services industry is growing rapidly, spurred on by both rising energy prices and energy market liberalization. Energy services offerings, which offer the prospect of improved energy efficiency, reduce potential energy sales revenue. Yet the inevitability of these offerings in a liberalized market make it imperative for utilities to capture this revenue before competitors do.

Scope

A review of the energy services industry and the reasons why utilities need to enter this market proactively. Data on the size and growth rate of the energy services market across Europe. An analysis of how energy efficiency offerings relate to energy reduction tariffs and the switching rules of regulators.

Highlights

At least 13 utilities around Europe explicitly offer energy reduction tariffs, which are predicated upon active supplier involvement in reducing energy consumption. Most of these tariffs require a stable customer relationship to provide a return on investment for utilities, such as on the installation of home wall insulation or smart meters. Amongst those utilities who report on the financial performance of energy services as a separate business unit, Suez is a clear leader, capturing just over 5% of the estimated EUR207 billion European energy services market. Many suppliers now market energy services not simply as a route for improved energy efficiency, but as a form of outsourcing thataside from cost controlallows clients to focus resources and attention on their core business.

Reasons to Purchase

Understand how energy efficiency is wrapped into a variety of energy services offerings. Forecast growth rates in the energy services market across Europe. Identify markets where higher switching rates will provide a boost to the energy services industry.