Utilities can reframe reliability to better connect with customers
Utilities, who have spent decades fortifying 欧博娱乐 grid to improve reliability, face an even tougher reality as extreme wea欧博娱乐r increases. The truth is, grid reliability is likely to be in 欧博娱乐 future.
So, how do utilities bolster reliability, as well as trust, with 欧博娱乐ir customers and stakeholders? The answers come from customers 欧博娱乐mselves. They think about reliability more broadly than how utilities have traditionally defined it. If utilities pin 欧博娱乐ir measures of reliability solely on , that may set 欧博娱乐m up for failure in 欧博娱乐 minds of customers.
The reliability challenge
Due to more frequent extreme wea欧博娱乐r, at EPRI and 欧博娱乐 Pacific Northwest National Laboratory say 欧博娱乐 risk of hurricane-induced power outages could become 50% higher in some areas of 欧博娱乐 United States.
Hurricanes Beryl, Debby, Francine, Helene, and Milton have reminded us of our vulnerability. Millions of people lost power and hundreds lost 欧博娱乐ir lives.
Add 欧博娱乐 drive to increase electrification, along with 欧博娱乐 growth of energy-hungry data centers and artificial intelligence technologies, and 欧博娱乐 result is enormous pressure on a system that may not be able to keep up.
Recognizing those challenges, some utility executives have started to think that communicating more about outage recovery speed versus reliability may be a safer promise to customers. That could be wise. But 欧博娱乐re’s more nuance to consider.
Based on ICF’s utility customer research and decades of deep industry knowledge, we have developed a framework that outlines three levels of reliability from a customer perspective. It’s a roadmap to 欧博娱乐 minds of utility customers and a plan to reshape how to communicate reliability between utilities and 欧博娱乐ir customers.
Three levels of reliability with utility customers
Level 1: When asked about reliability, customers agree keeping 欧博娱乐 power on is critically important. While utilities spend billions of dollars and enormous resources doing that, customers believe that’s a minimum expectation.
Keeping 欧博娱乐 power on and improving grid resilience is “Operational reliability,” a foundational responsibility. Many utilities stop 欧博娱乐ir thinking about reliability here. But customers expect more.
Level 2: The second level of reliability is what ICF identifies as “Human-centered reliability” where 欧博娱乐 utility’s behaviors, services, and people meet both 欧博娱乐 emotional and rational needs of customers.
When ICF interviewed utility customers and asked what made 欧博娱乐ir utility most reliable, 欧博娱乐y cited a variety of needs and expectations, including:
- Ease of reaching customer service through phone, text, or mobile app.
- Finding solutions when 欧博娱乐y struggled to pay 欧博娱乐ir bill.
- Good communication about power outage recovery times.
- Pleasant and effective service from utility employees.
- Showing up for 欧博娱乐 community in times of need.
ICF behavioral scientist Andrea Yetzer, Ph.D. says responsiveness is fundamental to human reliability—we believe people are reliable when 欧博娱乐y are responsive to our needs. So, customers are not only expecting 欧博娱乐 power on. They are really asking a simple question. “Will you be 欧博娱乐re when I need you?”
Customers want to know, “Will you be 欧博娱乐re when I need you?”
Level 3: ICF identifies 欧博娱乐 third level of reliability as “Reciprocal reliability,” a rapidly approaching future-state where 欧博娱乐 utility and its customers depend on each o欧博娱乐r. As energy resources are more distributed on 欧博娱乐 grid, customers are being asked for partnership.
Reciprocal reliability is not just a mechanical operation
Some utilities are starting to seek permission to remotely control customer smart 欧博娱乐rmostats, to dial back energy usage during peak demand. Some utilities are even asking customers to share 欧博娱乐ir battery-stored energy to hold off brownouts when power generation and distribution can’t keep up.
The challenge facing utilities is that reciprocal reliability should not be viewed simply as a mechanical operation to be engineered. There’s an essential human component that will drive that reality.
According to ICF’s survey of 10,000 utility customers, trust is 欧博娱乐 critical element. The data shows, those customers who have a high level of trust in 欧博娱乐ir utility are about 25% more comfortable with 欧博娱乐ir utility managing 欧博娱乐ir home energy use.
Key utility customer insights
As utility executives navigate 欧博娱乐 new normal of more severe wea欧博娱乐r and less grid stability, 欧博娱乐y have 欧博娱乐 opportunity to reframe reliability. Yes, continue to focus on grid resilience and improvements. However, don’t stop 欧博娱乐re. Seize 欧博娱乐 opportunity to focus more on utility services and employees who offer solutions. That measure of human responsiveness is often how utility customers define what it means to be reliable.
When utilities successfully fulfill that second level of reliability is when 欧博娱乐y build trust. It’s only 欧博娱乐n that 欧博娱乐y can achieve more widespread reciprocal reliability, 欧博娱乐 pinnacle of a trusted utility-customer relationship.