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Friday, 27 November 2009 13:31 UAE time

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Software solutions

by ArabianBusiness.com staff writer  on Thursday, 18 September 2008
Oracle’s Bastian Fischer believes innovation will come in the form of real-time systems.

Efficiency has improved considerably, thanks to revolutionary new capabilities such as the use of software platforms on mobile devices that can be synchronised with the plant's main system, reducing downtime in a significant way.

"We have just released a new front-end platform called Aurora, which will be completely new way of using the system - it is far more user-friendly, it is more graphic, and you can configure a file a lot better. Before, the utility workers had to sign a lot of information that they would just store in an Excel or Access database. When they move to ERP's and they can start moving and evaluating the information in a far more efficient manner, then they will see the benefits," says Johnson.

International consumers are also playing their part in the developments, as they become more empowered and have more choice. Usually a customer would have had little impact on the energy or water supply they would consume, but now thanks to more choice in utility provision, and with renewable energy sources, networks are more resilient to outages and there is a reduction of network bottlenecks.

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"This transition requires a huge amount of IT technology because we have to deal with high volumes of real-time data, and it also changes the way utilities bill customers, which is becoming more of a real-time process," says Fisher.

According to Osten Westman, senior consultant for IFS Middle East, the most important development is the improvement of availability and reliability.

"We now have the tools to help them cut the project lead times, so if you have planned for 15 months in the commissioning and building of the site, we know that we can cut that by one, two or three months thanks to effective document management," he says.

"I think in terms of reliability, if you look at a power generation station, every unplanned stop costs a lot of money. Each nuclear reactor costs close to US $1 million a day for every unscheduled stop, so if we can help them reduce that stop by one, two or even three days, it can save them a lot of money."

One of the most pressing challenges in the past for the Middle East region has been the lack of knowledge, and general understanding of what IT technologies can provide. In a region where new utility plants are constantly cropping up, the owners may not have any experience themselves to call upon, and rely heavily on external consultants.

Compared with utility organisations in other countries, who may be on their second or third generation software system, many in the Middle East will have yet to implement even their first.

"Here in the Middle East and North Africa, I'd say you would be lucky if the company is in their first generation of system - they are normally still paper based or on an excel format, and we have actually been to organisations where they didn't know how to use a PC, so there is very much an IT issue," says Johnson.

Other infrastructure challenges are also apparent. "We do go to some locations where you might have a telephone connection and that is it. So how do you go about deploying complicated IT solutions when the actual infrastructure in the company, and even the country, cannot support it?" Johnson adds.

The problem is that many countries do not have the infrastructure developed over many decades elsewhere in the world, yet development pushes on at breakneck speeds despite this.

"It is almost like a giant live version of Sim City, where there is a certain sequence you need to follow in order to build a utility network. Hopefully the firms involved can balance this equation, because if they do not, it will hamper the development of the region," says Westman.

However, according to Johnson, utilities companies in the Middle East do intend and have a desire to follow the correct practices and utilise the newest technologies.

"I find in the market in the Middle East they do want someone to come in and advise them, and find best practice in the organisation, using IT solutions," he says.

His thoughts are echoed by Fischer, who believes the Middle East is a very innovative area.

"All of these new drivers - the environmental, the energy efficiency, the water conservation - are priorities in the Middle East as much as in other regions. It is very focused and has change and innovation in mind," he says.

The objective for the software solutions firms will be to get in at the planning stage for a proposed plant, and ensure the utilities networks are running on up-to-date programmes and platforms.

Fischer says that the over the coming years the innovation will come from the transition from transactional systems, to a real-time system - not only at an operational level but also on the commercial and customer information level.

Software solutions in the utility industry will continue to aim to improve efficiency, reliability and availability, for both the producer and the customer. The Middle East would appear to be an ideal location for them to prove the effectiveness of their products, with relentless infrastructure growth and a desire to make use of the latest and most innovative technologies.

Yes, there may be some challenges surrounding the infrastructure, the lack of prior experience in the field and an ageing work force - problems for many other industries in the region - but the lessons learnt by the software companies now operating in the Middle East should provide valuable support to utility companies, providing they look for such help in the first place.

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