WHAT IS YOUR RISK EXPOSURE TO ELECTRICITY SHORTAGE?

It is advisable that businesses review their risk exposure to electricity shortage. When someone mentions the many risks a business faces, what may first spring to mind are strategic risks, such as choosing what products to develop or markets to target. Or maybe the risk to a company’s reputation if something goes wrong. Or even financial risks associated with debt, cash flow and currency fluctuations. But what about the commodity your facility depends on every second of every day to thrive? How about that one commodity that can determine your profit margin?

For many organizations, electricity is mission critical and the risk of electricity shortage would weigh heavily on them.

A power failure or a problem related to poor power quality can mean an expensive disruption to operations. researchers have estimated Power-related losses to the European economy to exceed €150 billion annually. In the US, such losses could be as high as $188 billion. In Nigeria, electricity shortages significantly impede Its economic growth. For operations like data centres, hospitals, airports and manufacturing facilities, a loss of power is more than a nuisance. It represents a significant financial risk and can even be responsible for the loss of life.

With so many risks related to a facility’s electricity supply, it’s surprising that so many organizations aren’t adequately managing it. As with most commodities, the value of electricity is a balance between cost, reliability, and quality. With the right information, insight, and decision making, it’s possible to maintain a healthy, reliable electrical distribution system. The system delivers high-quality power to the assets connected to it. It would also keep your electricity costs to a minimum. It is also highly recommended that reliable electricity suppliers such as LuxxorPower are contacted for independent power solutions to minimize the risks of electricity shortage.

Excerpts from: https://blog.schneider-electric.com