IoT devices gives a business real-time visibility into how much energy a facility is using. With remote sub-metering, this provides information about electricity consumption at the circuit level. Just using a main electrical meter does not provide the actual source of consumption. IoT devices can be set up to monitor the energy consumption of each circuit. IoT devices can also make a building smarter and can be used autonomously to manage the lighting and HVAC in a facility thereby reducing energy consumption if a certain part of the building isn’t occupied during certain hours of the day. According to the U.S. Energy Information Administration (EIA), they project a nearly 50 percent increase in worldwide energy usage by 2050- this means the call for smarter energy solutions is critical. More businesses are understanding that IoT use cases make a lot of sense for power and energy management and for mission critical facilities, every second of downtime can mean catastrophic results.
According to a recent S&C survey on power reliability, more than a quarter of manufacturing businesses experienced an outage at least once a month in 2017, with 58 percent an outage that was longer than an hour- that translates to millions of dollars lost. Implementing a smart microgrid that would have remote management capabilities with a facility’s HVAC, energy storage systems, combined heat and power, and fuel cells. IoT technologies eases the process of collecting the necessary data from traditional grid resources. By collecting this data, IoT-driven grid management systems can assist with critical functions such as optimizing line voltage to mimize energy losses and line damage, locating the source of outages and surges, improving load balance, and identifying the source of system losses that would reduce the costs of service.
With implementing an IoT solution, comes valuable insights that translates into major dollar signs for any business. As previously mentioned, these analytics can mean collecting real-time predictive analytics for the equipment that is constantly running instead of having valuable resources doing routine maintenance on machines that don’t need it. Understanding how to use those valuable insights is another piece of the puzzle. Many industrial companies have more data than they know what to do with and it can be overwhelming to the point where it might not be to your advantage. The data is only good if you do something with it!
Using collected data beyond detection and controlling anomalies is critical to fully realize the value of IoT data. That data needs to also be used to optimize and predict.
McKinsey reports that if businesses continue to utilize IIoT properly and more intelligently to fully understand all of the collected data and analytics that is now available to them, it could generate up to $11.1 trillion a year in economic value by 2025.