Drivers of Digitalization in the Energy Sector—The Managerial Perspective from the Catching Up Economy

Abstract

This article attempts to identify the key forces driving the successful digitalization of the energy sector, ensuring improvements in the energy triangle including sustainability, stability, and economic performance. The article sheds light on the diverse energy priorities at supra-, national, and managerial levels, and the role of digitalization in achieving these objectives. Catching up economies (such as Poland), being post-socialist EU member states, in order to transform its energetic sector, must overcome a number of infrastructural and social shortcomings retained as a legacy of the socialist economy. As such, sustainability (as the core priority at EU energy agenda) may not be the leading objective at both national and company level in the energy sector transformation. This article presents the results of empirical research carried out through distribution of e-questionnaire addressed to Polish managers from the energy sector. The results were analyzed using the fsQCA method. The findings suggest that, for managers, the most important drivers of digitalization and transformation of the energy sector in Poland are its high economic performance, together with support for energy prosumers and consumers. The prerequisites for a successful digitalization are alternatively the absence of management barriers, or a combination of high economic performance and a strong focus on environmental protection. Surprisingly, according to managers surveyed, the rapid implementation of new technologies is not considered a vital condition for successful digital transformation of the energy sector, which implies either or managerial lack of knowledge in this area and/or a reluctance to introduce digital rapid technologies.

Digitalization in decarbonizing electricity systems – Phenomena, regional aspects, stakeholders, use cases, challenges and policy options

“…Positive implications of applying digital technologies to various use cases throughout the economy and the value generated can come as economic gain (e.g., from improved efficiencies) or societal benefit (e.g., more reliable, decarbonized electricity generation) [2,6]. A recent study based on an E-survey [7] found that expected improvements in economic performance is the main driver for the uptake of digital technologies in the Polish energy sector. The EU's assessment and roadmap for the digital transformation of the energy sector summarizes the potential of digital technology applications along the energy value chain [69].…”

“…There is currently not a common set of definitions of digitization, digitalization and digital transformation in the electricity sector. Digitalization, for example, has been defined both from a data-centric perspective [36,37] ("digitalization as exploiting novel, large-scale data flows for optimizing some processes") and a rather process-centric perspective [2,7] ("digitalization as wide application and uptake of ICT converging physical and digital spheres").…”

“…However, a clear, consistent definition is a fundamental basis for further analysis. Hence, building on previous findings of [2,7,38], and differentiating by process duration and involved agents, we define: •Digital transformation as large-scale, cross-sectoral networking of all economic and social agents towards an interlinked, digital system, which exploits enhanced data exchange, analysis, and decision capabilities. Over the period of years to decades, digital transformation changes the interactions between all market actors.…”

Agricultural productivity‐environmental sustainability nexus through the lens of digitalization and energy intensity in BRICS countries

“…Digitalization leads to the overall replacement and enhancement of energy use systems, creating a sustainable energy development platform that efficiently distributes energy resources (Fatai Adedoyin et al, 2021; Światowiec‐Szczepańska & Stępień, 2022). Consequently, a narrative implies that digitization enhances the working‐age population's efficiency, knowledge, and abilities, increasing productivity.…”

Shaping future low-carbon energy and transportation systems: Digital technologies and applications

“…One major challenge is the additional battery degradation incurred by the repeated charging and discharging cycles of bidirectional V2G implementation [281] . For the convenience and safety of their vehicles, drivers of electric vehicles usually charge in advance or ensure high charging levels for their electric vehicles [282] , which would preclude them from actively participating in two-way V2G services. Future researches should focus on intelligent scheduling and valuation technologies of V2G as well as digital battery management technologies.…”