​INNOVATION​

We view innovation as a human process where our ability to understand and anticipate needs and trends in our environment converges with our strategy, reso​urces and market position, in order to create and construct new value and succeed in capturing this so that it can serve our interest groups.
Innovation enables us to reinforce our value proposal and to diversify and enrich our portfolio of products and services on the energy market, in order to contribute to the economic growth, sustainability and overall development of our customers, our environment, and our organization.



The energy market and the needs of our customers in the different stages of the value chain change constantly, and the reliability, quality and economic rationality of the energy are a decisive factor in competitiveness and in the ability to develop residential, commercial, industrial and institutional users. A robust, dynamic, effective and relevant value proposal enables us to fulfil our role in the energy value chain better and results in our being a strategic ally of the companies and in the regions we serve.


Our integrated innovation portfolio, which will include responses to needs, problems and current opportunities, will, in turn, construct technologies, processes, products and services that will enable us to achieve a lasting presence on a digital, distributed and decarbonized energy market.




INNOVATION ADMINISTRATION

​Our innovation efforts are directed toward promoting contributions by our human talent, administering our own and external funds to support our initiatives, forming transverse teams to execute strategic projects, promoting the adoption of new solutions, and disseminating processes and the results of our innovations.

We focus on designing and unveiling strategies to foster innovation, administering our own and external funds to support our initiatives, designing transverse teams to execute strategic projects, adopting new solutions, maximizing the benefits of innovation project results, measuring indicators, and disseminating the results of initiatives / projects. The purpose of this is to create, construct and capture value so that it can serve our interest groups through an integrated innovation portfolio which meets current needs and provides a response to current problems and opportunities by building technologies, processes, products and services that will enable us to have a lasting presence on a digital, distributed and decarbonized energy market.
​​ ​As a result of this, the following were carried out in 2020:

We also have a sound regulatory structure which governs the innovation system of Promigas and its affiliated companies, and this has become a guide for planning and executing initiatives and projects aimed at creating or significantly improving processes, products, services and other internal actions to foster innovation. This regulatory structure includes the governance model for the Center for Energy and Gas Innovation (CIIEG), innovation policy, and intellectual property policy.

In 2020, the contingency caused by the pandemic forced us to review some of our activities that could not be executed as planned. However, it proved to be possible for us to adapt, and we accordingly responded to this contingency through the following actions:
​​


​INNOVATION PROJECTS ​

Promigas and its affiliated companies executed 95 innovation projects in 2020, 69 of them aimed at making our operation safer and more efficient and flexible, 25 at diversifying the current portfolio of services and meeting and anticipating customer needs, and one other, which was a strategic project for producing green gases, in order to prepare us for a transition to a cleaner energies market. 

Center for Energy and Gas Innovation management led nine of these projects, assisted with four others, and supervised 82. Center management were also in charge of structuring business concepts and cases for two strategic initiatives relating to the production of green and renewable gases.   

These projects focused on reducing times by means of process automation, smart and prepaid metering, making customer care channels virtual, designing new digital channels for optimizing the loan placement process, expanding access channels, and the customer experience: display and scaling of innovative business models, implementation of strategies for making savings in operating and administrative areas, and making the current portfolio of services more flexible. All corporate personnel were involved in executing these projects, representing the equivalent of more than 68 persons working full time on innovation projects. We highlight two projects:   


1. ​Linear natural gas transportation infrastructure monitoring platform. This project aims to transform the infrastructure monitoring processes used for gas transportation by implementing a mixed platform of digital, infrastructure and services solutions that will enable reliability monitoring mechanisms and undesired event management to be enhanced. By increasing our ability to anticipate and react to events in the almost 2,600 km of gas pipeline operated by the transportation companies, the results will make us a new benchmark in the sector.

2. Introduction of a new natural gas storage solution using low-pressure absorption in four applications in different segments of the natural gas transportation and distribution value chain in Colombia. We will implement pilot programs using this natural gas storage technology in new distribution services for the industrial sector. We are also constructing a new urban mobility value proposal and designing solutions to mitigate the carbon footprint generated today by our vents in both transportation and distribution. At a future date, using ANG, we will unveil energetically safer and more efficient solutions that will allow for a flexible operation for us and for our customers.

As far as activities to foster innovation are concerned, the companies executed 34 actions to reinforce the innovation culture, capture opportunities and develop skills, impacting 280 members of staff. 

For the medium and long term, we have the following plans:
  1. To continue developing and reinforcing digital platforms that will enable innovation to be managed in comparable settings.
  2. To reinforce the digital supervision function, with a view to speeding up the detection of new solutions and approach methods in response to sudden changes in business dynamics. 
  3. To continue the product and services portfolio diversification process, in order to reduce the company’s financial exposure to national or global issues.

​​

indicators2.svg

The results obtained in 2020 show an increase in corporate innovation management performance.

The increase in research, development and innovation expenditure and investment illustrates the commitment by the companies to promote and strengthen the value proposal for our customers through innovation initiatives and projects and by diversifying and enriching our portfolio of products and services on the market, in order to make our operation more efficient and flexible. This figure totaled more than $37.000 M.

The full-time equivalent personnel dedicated to innovation indicator rose from 75.2 to 114.4, indicating that corporate innovation ecosystem support structures have been reinforced. Personnel from the entire corporate area were involved in executing these projects, representing the equivalent of more than 68 persons dedicated full time to them.


​​



The investment in new products and services as a percentage of total expenditure and investments in 2020 was 16.6 per cent up on the 2019 figure, indicating that the companies have taken on board the commitment to use innovation to diversify the portfolio of services, in order to respond to and anticipate customer needs. 

The innovation financial contribution represented 1.3 per cent of consolidated operating revenue, a significant increase with respect to 2019. The principal impact on this result came from revenue from new products and services at Promisol, Promigas and GdO. Similarly, results in non-banking financing and tax benefits from investment in innovation are worth highlighting.