Tata Consultancy Services

To gauge the complexity of the juggling act utility firms must perform to stay in business, consider two statistics. In the four years to 2018, the number of Britons who switched their energy supplier almost doubled to 5.9 million; at the same time, the contribution of renewables to energy firms' output mix grew from about 13% to just shy of 20%. One represents a fundamental change in consumer expectations of the service they receive while the other highlights the political and environmental pressures being brought to bear on suppliers' operations. To the list of challenges that are adding to the pressures under which utilities operate, add the tightening – and disparate – the grip of regulators, the fracturing of transmission networks and the increasing influence of activist investors. Managing these changing times can be incredibly challenging for established utilities, especially at a time when technology is enabling venture-backed start-ups to move into niche segments of their operations.