What is Energy Supply Chain?
Energy Supply Chain is the inter-connected
network of companies supporting both conventional / renewable Energy
Producers and Utilities, that ultimately supply Energy Products or Services to End Users.
The network of Energy Service
Provider companies can range from Design Consultants, Manpower agencies, Vendor
Manufacturer / suppliers (Principal + Local Agencies), Inspection Services, Subcontractors, Fabricators and
Contractors, Transportation Lifting and Installation, to the Operation and
Maintenance, and finally to Abandonment of End-of-Life facilities. In addition
to Energy Service Providers, there are also Traders of Energy Products, and the
distribution and sales of Energy Products to End Users.
Why Energy Supply Chain is so
important?
Traditionally, Energy Utilities
and Energy Consumers have relied solely on conventional energy sources as it
was technologically more advanced and economical compared to renewable fuel.
However, with advancement of technology and End User Industries becoming more
aware of impact that fuels have on the climate, they are relooking into mix of
Energy fuel sources that are less carbon intensive to combat climate change. In
addition, Banks and Insurers that finance and cover Company operations are also
pushing for greener solutions, hence this has driven Companies to transition
into new greener technologies to meet this challenge.
With the constant changes in technology
that serve respective Energy Sectors, Energy Producers have to keep up to date
with latest Company offerings within Energy Supply Chain, that play a key role
in contributing to Energy Sustainability.
Secondly, the Energy Supply Chain
dynamics is constantly facing changes and disruptions from, supply and demand
of Energy Products, to supply of labour and materials, to change in government
policies and geopolitical events that impact on trade / logistical routes. With that, all Energy
Professionals should stay in touch with Procurement / Subcontract sourcing across
all categories of Energy Supply Chain, with consideration of larger pools of Energy
Service Providers, at different Country of origin closer to Project location.