Stabilized electricity prices and the absence of rolling blackouts may have contributed to a reduced interest in distributed generation projects, according to a new study by market research firm Primen.
The study, “Releasing the Potential for Distributed Energy,” includes the results of interviews with industrial and commercial businesses that use between 300kW and 10MW of power. Of the 600 companies included in the survey, just 2% are considered strong prospects for grid-alternative on-site generators, a 13% drop from a year ago.
“Senior management simply isn’t paying as much attention to energy use now,” says Nicholas Lenssen, senior research director of Primen’s distributed generation strategic service. “With the economic slowdown, capital spending is constrained and other issues are more top-of-mind for managers.”
The research firm does, however, estimate that more than 1,700 “sophisticated energy buyers” that represent 1.6GW of power are strong near-term prospects for distributed generation investment.
