The electric power industry has been one of the earliest and most comprehensive sectors to adopt information technology. From planning and infrastructure development to power generation, transmission, and distribution, IT has played a vital role in every stage of the power system. The digital transformation of power companies involves both the automation of production processes and the management of information systems. The first step in this journey is to automate the production line using computerized control systems, allowing real-time data collection from facilities like power plants and substations. These systems are typically integrated during the construction phase of power infrastructure, with dedicated funding allocated for their implementation.
As a fundamental industry, the power sector is responsible for converting primary energy sources—such as coal, oil, wind, water, and nuclear energy—into secondary energy in the form of electricity. This process supports a wide range of consumers and underpins all aspects of modern society. Since energy is essential to human activities, the power industry, much like the coal and oil sectors, serves as a critical backbone of the national economy.
Automating the production process brings numerous benefits, including increased efficiency, reduced errors, lower labor costs, improved product quality, and higher economic returns. Once the automation system stabilizes, the next phase involves enterprise management informatization. At this stage, the company’s management system becomes more structured, and information flows directly from the production floor to upper management. Key functions include office automation, data processing, shared information access, email, and internet usage. Specialized software tailored for the power industry is often implemented at this stage.
Since the introduction of the first computers, power companies have been undergoing a half-century-long transformation toward digitalization. As the power sector continues to evolve, so do its demands for advanced IT solutions. The development of power informatization has gone through three major stages and is now transitioning into the fourth, marked by a shift from centralized platforms to intelligent systems.
In the early phase, the focus was on building foundational IT infrastructure, such as local area networks, widespread computer use, and initial software applications. During the intermediate stage, each business unit established its own information center, and core network systems were completed. Professional systems supporting operations and marketing were also developed, meeting the basic needs of power companies.
With ongoing reforms, the need for faster, more comprehensive information has grown. Companies now seek efficient information flow to support decision-making and drive innovation. Integration platforms are becoming more popular, signaling the move toward an advanced stage of informatization.
The rise of cloud computing, big data, and the Internet of Things has accelerated the transition to intelligent systems. In this transitional phase, the application of these technologies is key to improving operational efficiency across the board.
Investment in power informatization in China reached 18.797 billion yuan in 2009, marking a 15.51% increase from the previous year. Information application systems accounted for 27.7% of that investment. Following this, projects like the State Grid Corporation's "SG186" initiative drove demand for IT solutions across the grid, becoming a major driver of growth in the sector.
In 2009, grid companies accounted for 57% of the IT investment, while power generation companies made up 43%. Both areas showed strong demand, especially as thermal power companies benefited from falling coal prices, leading to increased IT spending. With the adoption of new technologies, the need for smarter, more integrated systems continues to grow.
From 2011 to 2015, the implementation of the "Strong Smart Grid" plan by the State Grid Corporation, along with emerging applications and product upgrades, led to a significant increase in power informatization investment. This period marked a turning point in the digital evolution of the power industry.
Suzhou FUJI Precision Elevator Co.,Ltd , https://www.profuji.com