DTN to provide highly accurate weather data in support of more accurate gas demand estimates.
UTRECHT, Netherlands (October 27, 2020) – DTN, a global data, analytics and technology company, has been selected by National Grid Gas as the utility’s weather data partner. National Grid Gas is part of National Grid UK, which relies on highly accurate weather data to estimate demand for gas and electricity.
“After a robust review of many potential partners, we selected DTN,” said Abbie Sheppard, a senior energy forecaster with National Grid Gas. “Not only did they deliver accurate and reliable weather data, they also provided innovative solutions that link gas demand to the weather. This combination of data and analytics will benefit National Grid Gas and all our customers.”
To select a weather provider, National Grid Gas compared companies on forecast weather data accuracy and lead times available, the ease of making changes, and the company’s service approach. A comparison of vendors examined the accuracy of data at hourly and bi-hourly intervals.
“Accurate and reliable weather data is fundamental to balancing supply and demand within the utility supply chain,” said Michael Eilts, DTN senior vice president – weather. “DTN is proud to deliver our data and operational intelligence to National Grid Gas, enabling them to make confident and data-backed forecasting decisions.”
National Grid Gas leverages highly accurate weather data from DTN to create a five-day forecast as well as the long-range forecast capabilities developed in collaboration with the World Climate Service, created by Prescient Weather Ltd, a DTN partner. Long-range load forecasting will help National Grid Gas with future generation planning, risk management and transmission investments.
Estimated gas supply and demand has little room for error. Government regulations allow a small error variance from the predicted to the actual amount. If actual demand falls outside the variance, the utility company can face financial penalties and may not meet customer demands which leads to customer complaints and reputation damage.
Sheppard noted that the expectation of a colder winter, increased gas demand and more people staying home due to COVID-19 has changed the link between weather and demand in a completely unprecedented way. “Insights from DTN make it easier to adapt so that National Grid Gas can continue delivering safe, reliable and affordable energy for our 68 million customers.”
“By relying on DTN and World Climate Service expertise, National Grid Gas is able to make economically viable decisions now and, in the future,” said Jan Dutton, CEO of Prescient Weather. “Studies show that a utility company can see significant savings when combining short and long-range load forecasting.”