How Companies Can Navigate Energy Markets Using Expert Networks

Global energy markets are expanding steadily, driven by economic growth and innovation. With energy consumption being on the rise in developing nations, their energy markets are becoming increasingly attractive to investors, input suppliers, data analysts, and other market players.

For some, entering a new market may appear to be easy, but in reality, the path to success can be littered with many challenges.

These challenges can be avoided by using expert networks. Let’s learn how a business can leverage its potential.

Energy market insights

Global energy markets are gradually expanding due to a number of variables that will impact the future of energy production and use, including:

1. Changing regulatory frameworks
2. Varying fossil fuel costs
3. Growing need for environmentally friendly alternatives, etc.

With global energy consumption predicted to increase by 1.6% in 2025, according to the Economist Intelligence Unit, here are some key forecasts for the global energy market:

1. In 2025, it is anticipated that the global energy market will generate 29.60 trillion kWh of electricity.
2. A compound annual growth rate (CAGR) of 2.46% is predicted between 2025 and 2029.
3. Today, fossil fuels account for over 80% of the world's primary energy consumption but their share of the energy mix is expected to decline.
4. By 2050, renewable energy sources are expected to account for 17% of the world's basic energy demand.

With a strong focus on sustainability, nations are investing more in alternative energy sources as the international energy market continues to grow.

Trends That Shaped the Energy Sector in 2024

The use of renewable energy was the driver that changed the global energy market in 2024 as nations enacted laws to encourage the construction of wind and solar power plants.

The number of electric vehicles will continue to grow, and smart home innovations are expected to become standard, helping people to cut utility costs.

Trend #1: Evolving Energy Mix

The investments made in green energy in 2023 reached US$1.8 trillion, according to Energy Transition Investment Trends 2024, and in 2024, this figure is expected to have hit US$3 trillion.

We can expect businesses to continue to branch out into technology that is related to carbon capture, storage, and renewable energy.

Trend #2: Digitization, AI, and Cybersecurity

1. Energy companies are increasingly being targeted by cyberattacks. 2023 registered a 30% increase in attacks on mid-sized businesses. [Mircea Ch2] [Dan Green3] However, more investments are now expected in cybersecurity.
2. AI-powered solutions can improve grid efficiency and resource allocation throughout the energy supply chain, which is why middle-market energy firms can benefit from the use of AI by larger organizations while working on their own strategies.

Why energy market insights matter

Businesses operating in the energy sector encounter a wide range of opportunities and challenges, varying from the growth of renewable energy sources to the growing emphasis on sustainability.

These shifts mean that organizations must have an extensive knowledge of pricing volatility, market dynamics, changes in regulations, and new technologies otherwise they are at risk of making costly mistakes. For instance, investing in obsolete equipment could result in large financial losses.

By leveraging expert networks, companies can obtain customized insights that target specific issues, making sure they remain ahead of the curve.

The role of expert networks

Expert networks link companies with seasoned professionals in the energy sector who have extensive skills and on-the-ground experience which they can share, thus allowing businesses to access niche knowledge that can then be leveraged.

Five reasons to engage expert networks for your business

1. Customized Insights

Professionals recruited by expert networks can deliver nuanced, real-time information that is tailored to a company’s specific needs.

2. Regulatory Guidance

Specialists in the energy sector can help businesses to navigate complex regulations, ensuring compliance.

3. Technology Trends

Expert networks enable businesses to stay in touch with the latest developments from battery storage solutions to smart grid innovations.

4. Risk Management

Energy markets are often volatile, which is why gaining insights from experts in the field can help businesses to mitigate the risks related to price fluctuations or supply chain disruptions by enabling more informed decisions.

5. Staying Ahead with Industry Trends

With a rapidly changing energy sector, missing out on a major shift could mean missing out on important opportunities.

For example, the move toward decarbonization has opened up new markets for renewable energy sources like wind turbines and solar panels.

In addition, due to the developments in energy storage – particularly in battery technology and grid storage solutions – the distribution and consumption of power are also undergoing certain changes such as the decentralization of power grids, time-of-use optimization, etc.

Practical benefits of using expert networks

Taking into consideration the above, the key advantages of leveraging expert networks to navigate the energy markets in any region or developing country in the world can be summed up as follows:

1. Improved Decision-Making

Access to expert advice ensures that decisions are based on data and insights, reducing the risk of costly errors.

2. Faster Market Entry

For companies entering new markets, expert networks provide vital information about local market conditions, competitors, and regulations and therefore accelerate the entry process.

3. Enhanced Strategic Planning

Insights from experts enable businesses to develop robust, future-proof strategies that align with industry trends.

4. Cost Savings

Avoiding missteps, optimizing operations, and seizing the right opportunities contribute to significant financial benefits.

Final thoughts

The global energy sector is expanding gradually which is why staying up to date with trends and leveraging expert knowledge to navigate energy markets help businesses to make informed decisions that can ultimately drive growth and resilience. Thus, working with an expert network is not just a choice for businesses hoping to prosper in this changing climate, it is a must.