In the history of the world, civilizations have risen and fallen. Fundamental to the success or failure of any nation is its access to resources. Food and shelter have always been the fundamental building blocks of human civilization, and core to these fundamentals is energy. Energy is required now, more than ever to both sustain our world, but also to help it thrive. In the coming decades, energy will perhaps be the single largest catalyst to the ultimate success or failure of every nation.

For decades, the US and Western Europe has dominated global economy. Fundamental to the rise of these nations has been the access to both abundant and cheap energy, supplied largely by fossil fuels. Coal and natural gas have been the dominant fuels for industrial and domestic energy supply. Certainly nuclear has contributed a fair share as well. The transportation industry has been predominately fueled by oil. And, in almost every case, each western nation has the vast majority of its oil imported.

So, while these Western nations have economically and politically dominated the world, they are now beginning to quickly crumble under the burden of decades of overspending and increasing dependence upon foreign supplies of energy.

Many scientists argue the use of fossil fuels is adversely and irreversibly changing our global climate. Many others argue that our supply of oil and other fossil fuels are dwindling to the point where we will literally run out in the not too distant future. Of course, there are those that counter these arguments to the contrary. No matter which side of these issues you are on, there are solid business reasons to look for alternate solutions. At minimum, the world is waking up to the fact that they are transferring vast amounts of their domestic wealth each and every day to other nations, that don’t necessarily have the same interests as they do. For decades, Western nations’ addiction to oil has resulted in  global conflict, trillions of dollars of wealth transferred, unstable capital markets and political uncertainty.

We must embrace the technologies that allow renewable, sustainable energy to be part of the reliable energy supply. Governments must take a leadership role in establishing a real and strategic energy policy. These policies should require dependence on domestic, sustainable supplies of energy. The utility industry in these Western countries is already embracing this challenge via deployment of renewable energy production and energy optimizing smart grids. Not only are these new projects mitigating risks around potential climate issues, they mitigate risks around fossil fuel supplies, and at the same time keep a majority of the fuel supply, wealth and job creation within their country’s borders and control.

 But sustainable, GDP friendly electricity supplied by utilities for industrial, commercial and residential use does not solve the other 800 pound gorilla in the room that is transportation fuel.  Or does it?

 Electric utilities will be the critical piece of the puzzle to this energy quandary we find ourselves in. The answer to this fundamental issue is the “2^nd electrification of the world”. More than 100 years ago the availability of electricity to every home and business in the civilized world seemed like an impractical, hypothetical impossibility. It would be too costly, too complex, and the demand would simply never be there. We all know the rest of that story. 

We are now on the verge of the next Revolution (News - Alert) in Electricity, and that is electrifying the world’s transportation industry. The technology is available today; it is efficient, cost effective and safe. Certainly improvements will need to be made, and most certainly will. Can anyone imagine today using the mobile phones of the 90’s or even 2000’s? We cannot let the naysayers complaining about range anxiety, or other trivial issues like battery life slow down the momentum of EV’s. We will optimize these technologies, and make electric vehicle technology the new normal for transportation.

Utilities historically have taken the ‘backseat” when it comes to politically charged issues around the transportation industry. However, in this instance, they could take the driver’s seat. Utilities stand to be one of the biggest winners in this energy revolution. There has never been, and likely will be no other time in the history of this industry where it can literally double itself in a relatively short period of time. When electric vehicles are completely dominating the automotive world, utilities will be more critical than ever to the sustainability and vitality of each respective nation by providing reliable, abundant, domestic energy. 

Utilities could actively and vibrantly promote these vehicles. Utilities are trusted advisors to their customer base and are influential members of the business and political community. They could take advantage of this status and lead the way for the revolution. Not only could they help promote the industry getting started, they could commit publicly to ensuring the cost effective, reliable and widely available fueling of these vehicles. 

Utilities have the opportunity to take the lead on: Working with auto companies to help promote the vehicles; Providing and promoting widespread availability of public charging stations; Providing simple, cost effective in-home charging capabilities; Offering dynamic, affordable charging rates; And finally ensure an overall customer friendly, “cool” experience.

While utilities will be big winners from the electrification of transportation, all of us collectively will be the biggest winners. A renewed sense of freedom and wealth will permeate not only Western nations, but also those around the world. Global free trade of products and services will thrive when there is more certainty and control from within each nation as it relates to energy supplies. 

Unfortunately it often takes a crisis for human nature to act in a transformational way. The crisis may be here whether we realize it or not. We have the opportunity to act now, and now may be the time for utilities to take the lead and climb into the driver’s seat for energy independence.