Small-scale, Big Impact – Utilities’ New Business Models for “Energiewende”

Wolfgang A. Marko

Die Unternehmung - Swiss Journal of Business Research and Practice, 2014, vol. 68, issue 3, 201-220

Abstract: The European electricity industry looks back on two decades of major change: Liberalization has just been mastered, but the rising diffusion of renewable energy generation, particularly small-scale distributed renewable energy generation (DREG), poses new challenges. Electricity from renewables has priority in the grid and is supported by feed-in-tariffs in many countries. Hence, big power plants must operate under partial load for long periods and therefore do not reach their full efficiency. Consequently, the classic utility business model (UBM) summarized as “invest in a plant, earn a return, and turn the meters” is seriously challenged and additional business models (BM) for DREG seem vital. This paper addresses the major challenges for utilities concerning “Energiewende” and presents five new utility BMs for small-scale DREG focusing on optimized energy solutions for the customers and suitability regarding market potential and utilities’ capabilities.

Date: 2014
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DOI: 10.5771/0042-059X-2014-2-201

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Die Unternehmung - Swiss Journal of Business Research and Practice is currently edited by Prof. Dr. Artur Baldauf, Universität Bern, Prof. Dr. Manfred Bruhn, Universität Basel, Prof. Dr. Pascal Gantenbein, Universität Basel (geschäftsführend), Prof. Dr. Markus Gmür, Universität Fribourg, Prof. Dr. Klaus Möller, Universität St. Gallen, Prof. Dr. Günter Müller-Stewens, Universität St. Gallen, Prof. Dr. Dr. h.c. Margit Osterloh, Universität Zürich, Prof. Dr. Dieter Pfaff, Universität Zürich and Prof. Dr. Martin Wallmeier, Universität Fribourg

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