At the recently concluded COP26, the UK reaffirmed its commitment to creating a green economy with net-zero carbon emissions.
However, accomplishing this goal requires significant changes to energy regulation, which many experts claim lacks direction and momentum.
Energy regulation in the UK lacks a clear sense of direction and purpose and often confuses organisations operating within the energy sector.
To address this problem, we can expect organisations to make several amendments to energy regulation and rulings to ensure they are better placed to meet the ambitious goals set by the government.
Unfortunately, this places organisations like energy producers and vendors in a difficult position, for they can expect significant regulatory amendments that could change the way they operate.
However, most organisations don’t have sufficient means to keep up with the latest regulatory updates and incorporate them meaningfully into their operations.
The only way to tackle this issue is to take a proactive approach to regulation by incorporating the right technology into business operations.
This is where regulatory intelligence software becomes invaluable to the energy industry.
The intrinsic value of regulatory intelligence in energy
While the financial industry has been using regulatory intelligence or RegTech to streamline regulatory operations for a while, the technology is also starting to make inroads into the energy industry.
Placed on the back burner for several years, energy regulation has surged in interest because businesses are starting to realise the importance of environmentally friendly operations and that they can operate profitability without harming the environment.
In this environment of invigorated interest, we can expect ambitious regulatory updates that could require organisations to make significant changes to how they operate. Failure to comply with these new updates could lead to fines and penalties.
With massive changes to energy regulation on the horizon, regulatory intelligence software can be invaluable for most organisations because it has the power to streamline and optimise regulatory processes and convert regulation into a timely, efficient process.
The software converts regulation from a slow, inefficient procedure bogged down by excessive paperwork into an automated, efficient process where organisations can respond to expansive regulatory updates in quick time.
Using regulatory intelligence software to optimise energy regulation
Sort, organise and prioritise regulatory content
Regulatory intelligence platforms can sort and prioritise regulatory content into a metadata publication library that allows users to sort and organise regulatory content more efficiently.
This is critical because it allows organisations to store historical regulatory data and better understand business operations while keeping up with the latest updates from regulatory institutions.
By using a metadata library, institutions can better understand the laws that govern energy regulation and adjust their operations to meet business demands.
Capture the latest updates from energy regulators
Regulatory compliance solutions allow organisations to capture the latest updates from relevant institutions.
Keeping up with the latest updates has always been a long-drawn process where organisations devote hours to searching for new updates. But unfortunately, this process was flawed and time-consuming.
Furthermore, the technology allows organisations to discover the latest updates within seconds, turning the process into an automated procedure that can be completed in seconds.
Map external policies to internal procedures
One of the critical features of regulatory intelligence is the ability to map external policies to internal operations.
With this feature, you will have a much easier time determining if your organisation is following the latest compliance measures and determine if they are any compliance gaps within your organisation.
This makes it easier to keep up with the latest compliance updates while reducing operational costs.
Conduct internal self-assessments to ensure compliance
Instead of waiting for regulatory institutions to conduct a compliance audit, organisations should leverage the solution to perform an internal self-check to ensure they follow the latest compliance updates.
Internal self-assessments can save a lot of time and money because it ensures that organisations can assess and perfect their compliance procedures without waiting for an external body to do it for them at a higher price.
Optimising energy regulation management for the future
The UK government is determined to accomplish the goals set out at the COP26 event, such as net-zero emissions by 2050.
To accomplish these goals, organisations will have to issue strict mandates on energy regulation to ensure that they can meet these goals.
If organisations are to meet these requirements, they need to recalibrate regulatory processes and convert them into a more agile, responsive process to ensure that they are ready for the latest regulatory updates.
Hence, organisations need to implement regulatory intelligence software because it allows organisations to adjust their operations to ensure that they can meet stringent regulatory requirements.
With energy regulation expected to become more demanding and stringent over time, optimising the process and making it a more efficient one will be critical for organisations looking to cut costs and improve productivity.