Power tech amps up in tough market
An app that uses machine-learning to forecast how much power users are likely to spend on electricity in the week ahead has been released by Genesis Energy.
The software tool, Energy IQ, is initially being made available to more than 20,000 customers who signed up to trial new technology from the company.
Genesis Energy chief executive Marc England said it would add two more features this month.
One will let consumers see how their energy usage compares to similar households.
The other will attempt to break down consumers’ electricity usage and itemise how much they may be spending on activities such as hot-water heating and ‘‘always-on devices’’, based on their profile and their historical half-hour metering data.
Those forecasts are based on past consumption patterns, what customers have told Genesis about their household and electricity usage, and weather forecasts.
England said the calculations would improve over time as the software applied machine-learning to understand why actual usage might have differed from past predictions.
Power companies such as Genesis wanted to differentiate their electricity offerings, given the competitiveness of the retail market, he said.
England forecast in March that it was likely foreign technology and power companies would enter the New Zealand power market in ‘‘the medium term’’, citing the potential for competition from the likes Google, Apple and electric car and battery maker Tesla.
‘‘We have got to stay relevant’’ and the app was just a first step, he said.
In 2012, Genesis trialled plans that let people pay different amounts for electricity based on the time of day, offering peak, off peak and ‘‘shoulder rates’’.
Rival Flick Electric has taken that approach to its logical conclusion, charging its customers rates that change every 30 minutes, based on wholesale electricity prices at the time.
Genesis spokeswoman EmmaKate Greer said Genesis had found ‘‘most customers prefer us to minimise risk and opt for plans that offer stability and predictability around pricing’’.
But she signalled it would again ‘‘explore and test various plan models with customers’’.
England likened the appeal of solar home-generation to people growing their own vegetables, saying consumers valued considerations such as choice as well as efficiency.