Portuguese energy provider EDP is committed to driving sustainability in the sector and achieving net-zero emissions by 2040, starting with data. Recently, the company has transitioned its IT systems to the cloud and adopted a data-driven approach, enabling the implementation of insight-based initiatives across its markets. Currently, EDP is leveraging machine learning, artificial intelligence, and IoT technology to maximize the value of the data and insights it generates, moving closer to its goal of reducing pollution and achieving decarbonization.
“Beyond the technology itself, what stands out is the profound impact this project is having on our people. It’s evident how much more empowered, aware, and inspired to innovate they have become,” says Nelson Pinho, Global Director for Digital Strategy & Architecture, reflecting on his company’s sustainability efforts and the initiative driving them.
As one of the world's largest renewable energy providers, EDP aims to lead the global energy transition. With goals of achieving net-zero emissions by 2040, strengthening its position in the renewable energy market, and aiding clients in their decarbonization efforts, EDP is committed to addressing the climate crisis with advanced technology.
More than the technology itself, it’s the impact this project is having on our people that’s truly outstanding. You can just see how much more empowered, aware and inspired to innovate they’ve become.
Nelson Pinho: Global Director for Digital Strategy & Architecture
EDP
“At EDP, our groundbreaking green ambitions aim to make a tangible global impact. We face significant challenges, but we are confident that data and AI will help us overcome them,” says João Nascimento, Global CIO of EDP.
“Data and AI are central to our Digital Strategy and are pivotal for EDP’s future, accelerating our journey towards a better world.” This ambition has driven EDP to adopt data, cloud technology, and AI as essential tools, with Microsoft chosen as a key partner in this endeavor.
Unlocking the power of the cloud
EDP is one of the largest multinational utility companies globally, with over 40 years of industry experience. The company generates more than 75% of its energy from renewable sources and provides gas and electricity to over nine million customers. Operating in 29 markets, EDP is known for its highly international presence.
However, from an IT perspective, this global footprint presents challenges. For years, EDP relied on on-premises legacy systems and siloed applications, making it difficult to coordinate across its diverse markets. The need for greater flexibility and speed became evident in 2016, as EDP’s expansion and growth goals outpaced the capabilities of its existing IT infrastructure.
This led to the decision to transition to the cloud. Given EDP’s ambitions in data and AI, the Microsoft Intelligent Data Platform was identified as the optimal solution.
Embracing an end-to-end transformation
Six years after initiating its migration, EDP has moved over 80% of its workloads to the cloud, primarily on Azure, and plans to complete the migration by 2025. This migration is just the start. Recognizing the scalability, agility, data sovereignty, and security benefits of Azure, EDP has continued to build upon it.
The company has implemented the full suite of Microsoft 365 E5 modern workplace tools and is using Microsoft Dynamics 365 as the system of record for field services. Additionally, EDP has adopted a comprehensive set of cybersecurity tools from Azure and the E5 stack.
Recently, EDP has expanded its architecture to leverage its data more intelligently. This includes deploying Azure IoT solutions such as Stream Analytics, IoT Hub, and Event Hubs, as well as Artificial Intelligence technologies including Azure Machine Learning, Azure Cognitive Services (now incorporating Azure OpenAI Service), and analytics services like Azure Data Factory, Azure Databricks, Azure Synapse Analytics, Power BI, Storage Account, and SQL Server.
The use of these solutions has surged over the past few years. For instance, the data lake expanded from 70TB in 2020 to 1PB in 2022, with 60 applications currently feeding data into it. Since 2019, EDP has identified 239 initiatives related to data analytics and AI.
To date, over ten IoT initiatives have been launched across various EDP business platforms, following the establishment of an IoT reference architecture.
Inside EDP’s most innovative projects
With a range of new technologies at its disposal, EDP has begun leveraging these solutions to drive innovative projects globally.
One such initiative is in electric mobility, which EDP views as crucial to global decarbonization efforts. "A key aspect of advancing our electric mobility mission is determining the optimal locations for installing public electric chargers," explains Marco Pinheiro, Head of the Data and AI Competence Center at EDP.
"By utilizing our machine learning and data analytics capabilities, we can achieve this by integrating geographical data, customer demand, road information, and various other insights."
A similar methodology is applied in the Analytics4Vegetation project, which assesses vegetation in areas where aerial power lines will be installed. Through data analytics, EDP can more accurately predict whether vegetation will interfere with the power lines in both the short and long term.
“We have many other projects,” Pinheiro adds. “For instance, we’re using Azure Machine Learning to forecast the power curves from over 100,000 power transformers in Portugal.
“With our AI solutions, we can better anticipate potential operational issues and align them with our energy transition goals.”
Get the full workforce onboard AI and cloud technology
After years of developing its Azure stack, EDP is now making significant strides towards becoming a fully data-driven organization.
“Our current objective is to transform data into power and turn intelligence into actionable insights, enabling us to improve our operations starting immediately,” says Pinho. “To achieve this, we have launched two key projects: one focused on accelerating the implementation of our data and AI Strategy and Governance, and another aimed at speeding up the adoption of Generative AI across all business units. We hope these efforts will position EDP as a beacon for data and analytics in the energy sector.” Achieving this vision requires the full support and expertise of its users.
“We want to ensure no one is left behind in adopting these solutions,” Pinho adds. “The impact of this project on our people is remarkable. It’s evident how much more empowered, aware, and inspired to innovate they have become.” EDP has been conducting training and upskilling programs to equip its workforce with the skills needed to leverage AI for business. The Microsoft AI Business School and the Microsoft Enterprise Skills Initiative are integral parts of this program.
In conjunction with a Global Black Belt program aimed at upskilling, these initiatives underscore EDP’s dedication to the energy transition and the technology driving it forward.
Using our new AI solutions, we can be more prepared about anything that might happen to our operations in the future, while also tying them back to our energy transition goals. For example, we’re applying Azure Machine Learning to predict the power curve that comes from the over 100,000 power transformers that we have in Portugal.
Marco Pinheiro: Head of Data and AI Competence Center
EDP
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