Energy Services of the Future - Disrupt the energy consulting business

SEAS-NVE is one of the largest energy providers in Denmark. Be...

Background Info

About SEAS-NVE

https://www.seas-nve.dk/english

SEAS-NVE is Denmark’s largest consumer-owned energy company. Our core business is delivery of energy and communication services to customers in Denmark. We serve more than 400,000 customers, including both the B2B and B2C market of which the former makes up approximately 15 percent but accounts for a considerably higher percentage of revenue.

The SEAS-NVE team is devoted to being the ‘energy responsible pioneer’ in the Danish energy market and strives to offer top professional expertise and synergies across offerings. SEAS-NVE currently operates solely in Denmark and employs a workforce of close to 900.

Being a modern utility and transmission system operator, SEAS-NVE also has expertise in the entire range of disciplines relating to electrical infrastructure operating at all high voltage levels. With a region densely populated with local wind turbine generators, the company also has experience in integrating wind power into the transmission system.


Current service offerings

SEAS-NVE’s product palette can be divided into three categories:

  • Energy Products – Electricity and natural gas

  • Energy consulting Services

  • Grid Products – Access to the electricity grid

The B2B Energy Consulting Services is an important part of SEAS-NVE’s effort to help accelerate the green transition of our society. The consulting services include an on-site deep analysis of a given company’s current energy consumption resulting in a report that prioritizes relevant improvement projects dependent on price, expected return and repayment time. SEAS-NVE has 15 energy consultants employed and serves 200+ companies a year. The current energy consultant service typically takes over one month and costs approx. 3,300 to 20,000 .

Such services are usually delivered to medium and large companies with minimum 100,000 kWh per year and enables companies to yield a stronger bottom line and a sharper environmental profile. Large companies can typically save at least 10% of energy consumption, with a payback period of less than 3 years, by utilizing SEAS-NVE’s services.

The graphic below explains how the B2B Consulting Services work today.

1. The Key Account Manager contacts the customer and explains the service offerings.
2. Prior to the meeting, the KAM gathers internal and publicly available information on the customer. The customer explains their needs and wishes.
3. Customer visit to document all solutions related to energy consumption. Measurements are calculated.
4. A report is finalized including the current status of the energy consumption, prioritized recommendations of optimized solutions, investments and payback time.
5. Subcontractors are contacted to offer improved energy solutions. 

New target group

Recently, SEAS-NVE attempted to move into the somewhat unexplored small and medium enterprise (SME) market with potential for energy savings. However, many SMEs consider current energy consultant services as inflexible and too expensive. 

SEAS-NVEs current service offerings are not profitable in the SME market given that the low level of energy consumption of such customers leaves little room to extract savings. SEAS-NVE is therefore developing an app-solution, providing digitalized advice on energy usage with concrete recommendations on how to optimize energy consumption in each individual business/store. The recommendations are based on public information (size of the company) combined with measured energy consumption and a few manual entry points provided by the customer. Similar to the on-site consulting service, the app analyses the given data and generates a report that prioritizes relevant improvement projects dependent on price, expected return and repayment time. On the app, SME customers can follow their consumption and their investment in energy savings in real time. The ambition for the digitalized service is to offer a novel and differentiated concept that creates value for the SME customers while generating a recurrent revenue stream for SEAS-NVE.


Ongoing level of interest

The application is yet to be launched, however, the SEAS-NVE team has already identified that creating an ongoing level of interest for energy savings for SMEs customers, whose saving potential is relatively small, is a difficult task. SEAS-NVE is therefore looking for brand new ideas for how to approach their customers – specifically SMEs – with an offering that creates genuine value and ongoing level of interest in order to be ahead of the competition. Additionally, SEAS-NVE is looking for a way to be able to communicate continuously with their users.


Available data

SEAS-NVE has data on their current customers in terms of:

  • Public building data (BBR)

    • Construction year

    • Building size (m2 )

    • Number of floors

    • Energy supply

    • Roof material

    • Heating (electricity, natural gas, central heating etc.)

    • For more information (only in Danish) http://bbr.dk/


However, when a customer leaves SEAS-NVE, the company is not allowed to store their data. SEAS-NVE believes there is a significant unharvested potential in their current data pool.


Danish energy regulations

In Denmark, there is significant focus on reducing energy consumption to better the climate, health and overall community. Danish energy providers are obliged under the Energy Saving Act to ensure a certain level of energy savings each year and to submit an annual report with kWh savings to the Danish Energy Agency. In turn, the energy providers are subsidized the obtained saving from the regulatory energy pool (PSO). For the energy providers, this means that they can serve customers even better and provide consulting services towards achieving the highest possible energy savings and even pay the customers a small amount for their realized energy savings.


Co-operative company

Being a co-operative company, all the customers connected to the SEAS-NVE grid are owners of SEAS-NVE. The owners select the representatives of the co-operative committee which is the superior authority of the company. At present, SEAS-NVE has approximately 375,000 consumer owners and a total of more than 400,000 customers.