There’s a growing misconception that data analytics can single-handedly solve complex challenges- “just use AI” has become a common refrain. But the true value of these tools lies in how they allow people to make better decisions.
In this article, we get expert insight from Dr. Brett Close, an industry veteran and environmental economist who’s been with TRC since 2021.
He explores how data analytics and artificial intelligence provide our industry with exponential opportunities, when strategically matched with human innovation. He also discusses the problem-solving power of data analytics in our industry, specifically in the realm of improving the performance of energy program design and implementation, for example:
- Helping skilled program implementers identify and improve under-performing projects.
- Equipping teams with tools and visualizations to identify high-potential customers.
- Supporting qualitative researchers and community organizations to identify meaningful patterns and relationships in disadvantaged communities and other key sectors.
Meet the Data Analyst
Brett Close is Director of Data Analytics for Research and Consulting within TRC’s Advanced Energy practice, where he helps clients harness the power of data analytics to transform energy use.
With a PhD in Environmental Economics and a background in public policy and energy, Dr. Close leads TRC’s data analytics team, manages energy pilot evaluations and develops strategies to optimize the performance of energy efficiency and decarbonization programs.
He’s interested in the role of energy in people’s lives and is passionate about using technology like data analytics to bring clean energy to all communities. Through his work, Dr. Close and his team support utilities and agencies in improving operations, reducing energy waste and enhancing customer satisfaction by analyzing vast amounts of data collected from customer usage patterns and program participation.
Dr. Close shares 5 ways that data analytics play a unique and significant role in the energy industry – today and tomorrow.
Q&A: Insights on Data Analytics Strategies for Energy Providers
Q: What exactly is the role of data analytics for utilities and agencies?
A: As data availability increases, so does the potential for data analytics to transform the energy industry. « Utilities now collect daily, hourly or even higher frequency data, allowing for more detailed analysis of usage patterns, » Brett explains. « This helps in understanding peak impacts, identifying good program participants, and improving overall program effectiveness. » Since data analytics examine real-world usage patterns, rather than relying on assumptions, it’s a science-based tool to optimize how we measure and manage the use of energy.
Impact evaluation is one of the most important applications of data analytics in our industry. It helps us to understand the effectiveness of utility energy programs. Impact evaluation involves activities such as conducting billing analyses using customers’ energy usage data before and after installing new equipment, sometimes including a comparison group that did not make any upgrades. By controlling factors like weather, we can determine actual energy savings and program effectiveness, which is vital for achieving societal goals like reducing energy consumption and carbon emissions.
TRC uses customer energy data to identify underperforming projects, allowing engineers to follow up and improve outcomes. This benefits everyone involved: customers save more energy, the environment receives fewer pollutants and GHG emissions, program administrators can claim more savings and organizations perform more efficiently. Identifying and fixing underperforming projects through data analytics is a key service that we offer to our clients.
Q: What tools and software do data analysts use in our industry?
A: R, an open-source programming language for statistical computing and data visualization is a great flexible tool. There’s a lot you can do with it. We use it for analyzing data, but it also allows you to produce visualizations and dashboards. I think that’s really helpful for bridging that gap between the data analytics side and the program side because visualizations are so powerful for being able to convey the information. TRC’s research team helps find meaning in the data, equipping our clients with actionable strategies for improving their energy program performance.
Q: What are some challenges related to data analytics for energy programs?
A: A challenge facing energy program administrators is the knowledge gap surrounding data analytics: program implementation staff may not know what’s possible with data and data analysts may not fully understand the program’s needs. Effective collaboration between these groups is essential to develop solutions that meet program needs. An outside data analyst doesn’t understand all the details of the program, what’s relevant about certain information, what the implications of different things are, or how things fit together. So, the best outcomes always come from a collaboration between that data analytics side and the program implementation side to work together. TRC specializes in bridging the gap between technology and implementation, fostering collaboration within organizations and providing real solutions that help our clients adapt in a rapidly changing market.
Q: What unique insights can data analytics provide for energy program implementers?
A: One of the key areas where data analytics can make a meaningful impact is by increasing participation among disadvantaged customers. By identifying these customers and understanding their specific needs, our industry can help tailor programs to better serve these communities and advocate for energy equity.
A recent project with a utility client in the Midwest illustrates this potential. We analyzed the relationship between electric service quality and customer demographics, finding higher rates of disconnection and outages in communities with higher percentages of people of color. This diagnosis helps point towards solutions, but the next step involves working directly with customers and community organizations to address these issues effectively.
To effectively harness the value of data analytics for the purpose of energy equity, quantitative findings must be paired with strategic planning and integrated with person-to-person community outreach and engagement. TRC is at the forefront of leveraging data analytics to support energy equity for our clients, ensuring that clean energy benefits are shared by all customers.
Q: What gets you excited about the future of data analytics and the clean energy transition?
A: There’s lots to be excited about, including the potential of load flexibility technologies, such as battery storage and connected devices, which allow for better alignment of energy supply and demand, reducing costs and environmental impacts.
Traditionally, energy infrastructure has focused on meeting demand exactly when requested, which has led to grid constraints and pollution from overgeneration of fossil fuels. By integrating supply and demand with support from data analytics, we can better align energy use with actual costs and reduce negative impacts. Specific technologies that allow for flexible energy use, like delaying EV charging until off-peak times, help to meet individual needs while optimizing supply. This approach saves money for customers, reduces societal burdens and supports the growth of renewable resources.
As data availability increases the potential grows for data analytics to transform the energy industry. As part of our data science team, I’m excited to be part of the shift towards smarter, cleaner use of energy for our clients and the communities they serve.
