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Why energy providers can’t afford a weekend of downtime

Modernizing energy systems is essential, but how do you transform without switching anything off?

Why energy providers can’t afford a weekend of downtime

The growing reliance on AI and digital technologies is causing a surge in electricity demand for data centers, which now consume 6% of the UK's and US's electricity supply as of May. These centers require 40% more energy than initially expected. Electric vehicles, heat pumps, and increased renewable energy generation further strain the energy system.

However, the physical grid is just one piece of infrastructure that requires transformation. Energy companies rely heavily on a complex digital backbone for essential services, including ERP, finance, procurement, HR, and customer systems. Regulatory obligations persist even during IT transformations, making downtime a significant challenge.

Unlike other industries, energy providers cannot afford a weekend of downtime as demand remains constant and assets must still be monitored. To successfully migrate, energy companies must address cumbersome legacy technology estates that have evolved over decades due to acquisitions, divestments, regulatory changes, and short-term fixes.

This results in a tangled web of customized platforms, duplicated records, undocumented dependencies, and outdated data. A 'lift and shift' migration without understanding the complexities can perpetuate the very problems it aims to resolve. Energy providers need a comprehensive understanding of their data estate, including what is essential for business operations, what must be retained for regulatory or contractual reasons, and what can be archived or removed.

Data governance becomes crucial, as Ofgem's 2026 Data Best Practice framework emphasizes the need to structure and manage data according to its value. Additionally, testing transformations with realistic copies of production data poses challenges, as test environments must protect sensitive information while still being functional.

By strategically selecting what to migrate, energy companies can minimize downtime and maintain essential operations during the transition, ultimately leading to a more efficient and adaptable digital infrastructure.

Written by urgent.news from TechRadar's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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