energycioinsights

Mercatus: Revamping Business in the Evolving Energy Landscape

CIO VendorHaresh Patel, CEO
In the wake of the growing demand for clean energy, the energy industry is moving from centralized conventional sources of power generation towards distributed and renewable sources. “Mercatus foresaw the impending transformation of the energy industry and the subsequent business challenges in maintaining business visibility, managing change, and achieving profitable growth,” begins Haresh Patel, CEO, Mercatus. Established in 2013, Mercatus brings innovative cloud-based analytic software—Energy Investment Lifecycle Management (ILM), to address the business challenges faced by energy companies in the evolving energy landscape.

“My vision is to help the energy industry make their epic transformation by leveraging best practices and adopting the Energy ILM platform that can drive game changing OpEx efficiency, speed, and agility,” states Patel. Energy ILM helps energy companies to fundamentally transform their legacy business model into a more agile and nimble business model required to compete in a higher-volume and higher-velocity, distributed energy generation world.

ILM replaces multiple disconnected data sources and processes with a single, integrated solution for project origination and development, engineering & construction, asset management, and associated executive-level pipeline, risk/compliance, and financial management. The result is step-function improvements in business visibility, agility, and investment decisions efficiency. “With Mercatus ILM, data visibility and integrity is enabled by data centralization in a single cloud data/document repository (i.e., “a single version of truth”) that can be accessed from anywhere through user’s device of choice,” says Patel. This single organized system of record for data and documents results in reliable reporting, compliance, and decision-making.

Besides providing a single repository for information management, Mercatus Energy ILM delivers an integrated process across the investment lifecycle to enhance collaboration and productivity.

ILM accelerates deal flow from origination to operations with an end-to-end, integrated and automated process


A more seamless flow of work and data between user communities results in a substantial reduction in overhead and an increase in capacity in the areas of proposal generation, approval workflows, task tracking, resource management, compliance and reporting. “ILM accelerates deal flow from origination to operations with an end-to-end, integrated and automated process,” informs Patel.

With ILM, energy companies can scale their business rapidly to deliver greater value to their stakeholders–at minimum cost and using fewer resources. “Through advanced analytics and consistent, standardized methodologies and best practices for managing risk, pipelines, project financial modeling and selection, ILM takes the guesswork out of the decision making process,” explains Patel. ILM’s dashboard analytics provides consolidated portfolio and pipeline status visibility, centralized financial modeling and sensitivity analysis, project performance rollups, and trend visualization, allowing users to make insightful decisions, faster. “Energy ILM ensures that key investment lifecycle decisions are driven less by qualitative judgment and “gut feel” and more by consistent decision frameworks, data-driven analysis and insight.”

To illustrate, GE Solar, operated by Current, an equipment manufacturer turned solar developer, was spending too much time generating proposals instead of acquiring more customers as it was struggling to handle the influx of projects with its existing workforce. Mercatus Energy ILM solution helped GE Solar gain clarity over the risk factors of each investment decision, while helping them to reduce proposal generation time from days to hours, thus improving the efficiency of their investment decisions.

From a more macro-economic perspective, Mercatus promotes the use of clean energy by reducing sources of friction to the massive flow of capital directed at advanced energy projects by standardizing and digitizing the investment process across the entire investment lifecycle. It is estimated that $18T of capital will be spent over the next 15 years in support of the industry transformation. Already the Mercatus Energy ILM system is used to manage over 100 gigawatts of energy asset investments, across 75 countries and eight advanced energy technologies.