Origin Energy SWOT and PESTLE Analysis

Strength

This section is available only in the 'Complete Report' on purchase.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

1. Expansion in new markets: To become a prominent player in the industry, Origin Energy has to boost its market presence in the world. The growing markets of Asia and developed markets of Europe and America can prove to be new markets for the company. With increasing disposable incomes and abundant natural resources, Asian countries like India and China can become flourishing markets for them. Countries closer to the equator can demonstrate strong potential in development of Solar Energy. This would also facilitate in completion of the 25% renewable energy goal of the company by 2020. With rising concern of customer about climate change in the west, they can also expand their renewable energy ventures in these countries. To ensure the market expansion, the company would require huge capital requirement. With increasing size, it would also have to take care of the change in the organization structure.

2. Technology innovations such as Smart Meters for energy efficiency: Energy systems across the globe are being improved with the use of smart metering systems that help in transforming energy use into a more reliable and secure energy supply. The Usage Buster rolled out by Origin is a step towards greater energy efficiency. It employs around 40,000 smart meter that help customers see the breakdown of their energy consumption. For commercial and industrial customers, the company is setting up an on demand-side management that shifts load to achieve potential electricity cost savings and improve customer experience.

Threat

This section is available only in the 'Complete Report' on purchase.

Political

This section is available only in the 'Complete Report' on purchase.

Economic

This section is available only in the 'Complete Report' on purchase.

Social

This section is available only in the 'Complete Report' on purchase.

Technological

This section is available only in the 'Complete Report' on purchase.

Legal

This section is available only in the 'Complete Report' on purchase.

Environmental

1. Combating climate change and other sustainability initiatives: The rising concerns for climate change is one of the biggest reasons which could impact Origin Energy’s business. Climate change and global warming have become a global issue. From the general public to world leader everyone is worried about its detrimental effect on our planet. With global warming on the rise, they would have to optimize all their operations in favor of clean and sustainable energy. Steps would have to be taken towards decarburization of energy markets such as decrease in demand of fossil fuels, and increase in demand of renewable source of energy, like solar and wind would change the energy mix produced by the company. Origin will also adhere to international standards as stated by the Paris Climate Summit and reduce their emission by half, according to the agreement by 2032. Origin Energy would have to adapt itself to the changing consumer demands with rise in popularity of sustainable and green energy.

2. Using Artificial Intelligence (AI) to improve energy efficiency: The Energy industries are quickly incorporating energy management and Artificial Intelligence to develop more efficient and safe energy production techniques. These AI-powered energy storage systems are giving rise to “intelligent” energy systems that can far outweigh the capabilities of current systems like only wind or solar power systems. Tempus Energy, a member of the start-up group Free Electrons of 2017, has developed a system for Adelaide Oval based on artificial intelligence (AI) and algorithms to control and optimize when flexible onsite assets use energy, shifting non-time critical loads to cheaper periods or to when renewables are plentiful. Currently Oval and Origin are conducting experiments to see how much benefit Oval can gain from using this software in actual practice.