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The development of the energy service company in the 80s has-been a wild climb up in the case of demand. ESCOs produce a broad range of energy solutions like fuel flare vent, monitoring & safety, turnarounds, discontinued well restitution, vegetation control and chemical cleansing. An ESCO is a company that offers specific energy solutions to its clients, which includes auditing, redesigning and applying adjustments to the ways the customer consumes energy, the definitive intent being considerably elevated efficiency.
Ever since their beginnings in the 1980s, energy service organizations have evolved and expanded. Since COVID enveloped the world we have seen probably the most radical changes to this sector while trying to remain relevant. Another adaptation of energy service providers was the technical facet where state-of-the-art measurement devices and additional systematic components have turned out to be common-place in this rapidly progressing market.
As we have previously explained, the fundamental goal for energy service providers boils down to minimizing expenses and provide eco- friendly solutions in the future. Deregulation of the energy market in the 1990s was the catalyst that propelled the surge of energy service organizations. Three years in to the Trump presidency we have seen a significant wide deregulation in the energy market which definitely benefits energy service firms.
In 2006 the trade group NAESCO reported energy service providers grew by 22% and stated $2.6 billion in revenue marking an important moment for energy service companies through the USA. In Canada the popularity of the energy service company also expanded exponentially mainly in the oil abundant province of Alberta.
With such a wide array of O&G service these firms offer, it’s tough to list only a few while leaving out a great number of other relevant ones. However it’s really worth saying that throughout this field, innovation has performed a top role in assisting the industry progression. Even though there are numerous distinctive providers within this sector, the one thing they all share is an implicit tie to the industry as a whole.
Energy procurement firms also play a fundamental role in the management of energy operating costs with the intent of reducing spending and making efficiency a top priority in most organizations. The chief focus of energy consultants is to save their customer dough by negotiating energy prices and making existing functions more cost effective. The primary step any energy management firm will perform is a full and wide-ranging energy evaluation in an effort to recognize a starting baseline. Energy consultants use a defined start point which is generally to conduct a complete and thorough energy audit to be later made use of as a gauge of future energy cost savings. The energy management consultants are typically, impartial of the organization itself and work in chorus with top brass. Whilst energy management agencies operate independently of the organization contracting them, it is a reality that energy consultants work up close with managers for multiple reasons.
Some of the service providers these providers perform might include things like turnarounds, construction, environmental impact studies, meter proving, mobile boiler trucks, transport and others. You don’t have to look very far to see the devastation created by COVID19. Tens of thousands of jobs in the energy sector were lost in the first half of 2020 throughout the US and Canada.
We interviewed an executive with Mohawk Energy service who had this to say about our post-COVID world.
“What else can I say rather than its been a destructive blow to the markets but we do believe things will recuperate and we are preparing for that now.”
Shutdown solutions is a different aspect to the assortment of providers by energy service companies which entails project management for the duration of operational shutdowns of factories throughout maintenance. This form of service can entail other sorts of service within it which includes regulatory, measurement, meter testing etc. Based on the scale of the project, these contracts in most cases last from 2-4 weeks.
Industry guidelines and governmental and industry regulations are the fundamental backbone to which all energy service companies must function. The underlying objective for anybody in the energy service business is always to attempt to save their clients, in some form or another, with lower energy spending. Now this could mean just making present systems more streamlined.
Energy utility firms started to advance prior to the pandemic when they started to see the fundamental worth in grouping a variety of service providers jointly like TV, home phone and Internet. But yet more than that you now see places like electricity companies in Houston, also offering home and commercial alarms and smart home solutions. It has become wide-spread in the US and Canada that energy providers are now providing bundled service providers like phone, TV, internet and mobile phones but in actual fact there is way more of this going on in the B2B (business to business) side whilst public surveillance and security systems are also being offered. We are now seeing the development and merging of utility and service providers.
Now before you go off thinking this is the end of energy advisor organizations I would like to stress that professional energy service providers organizations or those operating in the oilfields, are a modern necessity and can never be replaced by utility heavyweight. Whilst there is the possibility they could bring them more in house as opposed to outside independent providers. Well that is the question on my people’s minds but it is without doubt that energy service providers are resilient and certainly will find means to adapt in this new world.
As Spring rapidly approaches so does the season for what’s often referred to as the weed cleaning season in the oil and gas sector. This service line is the cleanup and noxious weed removal as per lease agreements with government. However this service is a necessity no one looks forward to discussing their vegetation management plan. Companies know they must do it however they treat it as a secondary concern which often puts many companies behind the eight ball when it comes to weed control responsibilities.
Celebrities drive Smart Al and cars Gore has told us that global warming is going to cause havoc for us, but is anyone really listening to what these celebrities have to say? Forget the famous people and continue reading this article for some tips and tricks, which will help you to use green energy for your own advantage.
Look into a solar water heating system if your home has a pool or hot tub. Installing a solar water heating system costs about the same as a conventional system, but operating costs for the system will be much lower. Repair costs for solar heating systems are often lower as well.
Before you start incorporating green energy sources into your home, you should cut back on the amount of electricity you use. Make sure you’re not wasting power by leaving things turned on when you’re not using them. This way, when you make the switch over to alternative energy sources, you’ll be more efficient with your energy usage.
When building your home, pay attention to its orientation. An ideal home should be protected against overhead sun during the summer and be oriented so that it gets low-angle sun in the winter. This is a good way to save money on your heating bill and will keep your home cool in the summer.
If you are interested in saving energy, utilize the warm summer months to help you dry your clothes. Forgo the use of your dryer, and hang your wet items out in the bright sunlight. Your clothes will smell fresh and feel wonderful, although not only will you save energy.
Swap your old thermostat for a greener programmable model. You can program these thermostats to adjust the temperature at particular times during the day, so your heating and cooling system will run less while you are at work or school. These thermostats are inexpensive, and they can save you money on your electric bill while preventing unnecessary energy use.
It is about saving on energy when ever possible, though green living is not only about buying the right products. When you are not in the room, take the time to turn off your ceiling fans to conserve energy and not waste power. If you are not in the room, there is no need to have the fan on.
A great tip for green energy use is to ensure that your home is properly insulated and has a high R value with the insulation. The best insulation has a higher R value. The additional insulation will keep out excessive noise from outside your home, although not only will you save energy.
Are you currently using a wood-burning fireplace to decrease your dependence upon fossil fuels? If so, remember to shut the flue damper very tightly when your fireplace is not being used. If you forget to do this, both warmed or cooled air will easily escape from your house through the chimney.
Whether it’s a celebrity, politician or scientist, many people are trying to get the populace educated on the problems that we will be facing, thanks to global warming. It’s great that you’re taking the time to learn what you can do to help, so put the tips you’ve read here to use and get started today!
As many of you already know, Alberta is Canada’s top province when it comes to energy services and the oil industry. However it is worth noting that with the re-election of a Liberal agenda in Canada, 2020 could prove testy for both Alberta and British Columbia. Most Canadians have seen the recent decent-ion of Western Canada over the re-election of Trudeau and Alberta’s oil workers are amongst the most concerned.
On a more positive note: after 4 out of 5 years of energy sector losses in Canada, 2020 is expected to rise an additional $2 billion in oil and gas. But with projects like the Teck mine on the ropes with government approval, there is hope that Premier Kenney will pull a rabbit from a hat and get approval. This would substantially change the 2020 forecast. The one most active in helping Alberta’s improved economic environment is largely due to provincial government policies which include slashing corporate tax rates and easing of oil production curtailment levels.
But back on track with the subject of this blog post, let us talk about energy services industry in these two immensely important provinces. What is an ESCO? By definition, ESCO is an acronym for Energy Service Company. This is a company that provides services such as fuel flare venting, meter proving, commissioning and startup, sampling and analysis and electrical and instrumentation to name a few.
There’s also no shortage of companies to chose from when consider energy services but none more reliable and renowned as Harvest Oilfield Services. Why? Let us explain…
Harvest Oilfield Service Inc. began in 2005 with a single high pressure wash and steam truck and was based in Central Alberta. Today, the company boasts 12-14 full time employees with over a dozen mobile boiler trucks and is growing at a phenomenal rate. As demands by regular everyday Canadians rises within the energy sector, Harvest understands the importance of matching the pace of this trend.
Harvest Oilfield Service Inc. has satellite locations including providing Fox Creek shutdowns and turnarounds service via this highly reliable company.
The Fox Creek office also boasts coverage for chemical plant shutdowns, refinery turnarounds, and rail car and yard cleaning with steam. Harvest has remote offices also in Manning, Peace River, Bonnyville, Whitecourt, Fort St. John and Drayton Valley.
Additionally Harvest also has principal offices in Sherwood Park and Calgary. Services from those include providing Edmonton facility maintenance turnarounds, Edmonton chemical cleaning, and facility modifications.
It is important to note also that Harvest Oilfield Services offers a vast scope of mobile boiler services and other energy services.
Transportation of oil and natural gas is not only difficult but risky as well. There have been many incidents of oil spills or explosions in pipelines. These are the major challenges of transporting these products to long distances.
Production has increased
The oil and gas production has increased due to the high demand for these products. Canada is producing lots of oil and gas. Due to the latest oil system reform, the oil production in Mexico has also increased. There is lack of infrastructure to transport these oil and gas.
Has to travel long distance
Oil and gas are now being extracted from remote locations. So, unlike the easily accessible locations, it takes a lot of time and improved management system to transport these products from the remote locations. A number of extra interstate pipelines are necessary to transport gas to long distances.
Possibility of more accidents
As the transportation system needs to be expanded due to the increased production of oil and gas, there is more possibility of accidents like oil spills and explosions.
Due to more availability of these products, the consumer demand will also increase more in turn. So, the oil companies have to look for new locations to extract oil and gas. Transporting these products will become a major problem again. Companies must find out ways to meet these challenges and improve the infrastructure to easily transport these products to destinations.
The oil companies are no longer getting good oil production from the accessible energy sources. Due to the demand for gas and oil and the increased competition, these companies are moving towards remote locations to search for oil and gas. The Arctic region is thought to be a very prospective place for digging oil. According to a US Geological Survey, it is estimated that the Arctic has about 90 billion barrels of oil. This is equivalent to 13% of the undiscovered oil reserves of the world. Thousands of trillion cubic feet of natural gas is also present. However, there are lots of challenges for drilling in this region.
The weather can go below 200C in summer. The wind is very strong and it can be very difficult to work in this harsh weather condition. In winter, it is almost impossible to work.
2. Difficulty in extracting oil
The summer lasts for a short time. During the winter you get very little daylight time to work. So, it is best to complete the drilling process before the summer ends. This can become impossible most of the times. So, the oil lies beneath the ice in frozen form. Oil companies have to wait till the next summer to dig it up.
3. Cleaning up is complicated
Due to lack of infrastructure in the remote locations, it can be very difficult to clean up everything before summer. So, the residues and emissions can get trapped under the ice which might cause devastating results to the ecosystem.
4. Getting permission is difficult
It is very difficult to get the license for drilling projects in the Arctic region. There are very strict regulations and lots of capital is required. So, many companies cannot afford to gather up this large sum of capital to invest.
The oil companies must find out ways to overcome these challenges. Better equipment must be invented so that drilling operations can be done faster on ice. Great opportunities lie out there and the oil companies must extract oil and gas from those places before the place becomes too crowded due to competitors.
Like other companies, the oil companies also need to have a solid marketing plan and a budget. The competition is increasing and they need to come up with innovative strategies to keep up with the competition. Here are some marketing tips for the oil industry.
Networking is very important in this business. You should attend annual exhibitions and conferences and try to form a relationship with other companies. These are the places where you will get good leads. So, there is a high chance that you will be able to make lots of deals after attending these events.
Consistency in promotional materials
You should try to create a permanent image of your brand in the minds of the consumers. Your logo must be displayed on every kind of promotional material you use, like a business card, website, employee uniform, advertisements, etc. There should be consistency throughout.
Use integrated approach
An integrated approach to marketing is very effective in this sector. You should use both traditional and digital marketing strategies. You can use a press release to let people know about your brand or about a project you are involved in. The key is to promote your brand.
These marketing tips will increase your ROI and customer base. You must have a written marketing plan and revise it from time to time. These tips will help you to stay ahead of the competition.
- The development of the energy service company in the 80s …
- Celebrities drive Smart Al and cars Gore has told us …
- As many of you already know, Alberta is Canada’s top …
- Transportation of oil and natural gas is not only difficult …
- The oil companies are no longer getting good oil production …
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