By Bharath Moola, HEXstream data solutions engineer

The last few years have been anything but predictable for utilities. From rising demand to extreme weather to the clean-energy transition, utilities have been forced to adapt at an unprecedented pace.

Now add another layer of complexity: supply chain challenges.

When the cost of steel, copper, transformers or batteries suddenly jumps, the ripple effects are huge. A project that was feasible yesterday becomes a budget nightmare today. Equipment that should have been replaced sits in service longer than intended. And customers, already financially stretched, are faced with higher rates.

At HEXstream, we have seen this story play out across the utilities we serve. But here is the encouraging part: operational costs may rise, but data can lessen the sting. With the right analytics, utilities can not only cope with unprecedented operations budgets, they can build resilience and uncover new ways to deliver reliable, affordable energy.

Let’s explore.

Smarter decisions before the costs hit

Think about procurement. If you know six months ahead that your demand for copper is about to spike, you can negotiate contracts early and avoid paying peak prices. That is where our Utility360 platform shines; it brings into one place data from across the organization—think asset, field services, outage and customer demand data. Suddenly, decisions are no longer based on guesswork; they are informed, predictive and proactive.

Making every asset go further

When replacement costs soar, keeping existing equipment healthy becomes critical. Predictive maintenance is not just a buzzword, it is a lifeline. By combining IoT-sensor data with machine learning, we help utilities understand which transformers are truly at risk and which can keep running safely. Sometimes the smartest move is not replacing, but extending. That kind of insight can save millions.

Running the grid smarter

Every outage and every truck roll costs more when a disrupted supply chain is pushing up prices. That is why our analytics also focus on optimizing daily operations. Better outage intelligence, smarter crew-scheduling, and renewable integration all add up to the same outcome: lower costs and higher reliability.

Building trust through transparency

Supply chain challenges force utilities to have difficult conversations with regulators and customers. Properly analyzed data can make those conversations easier. We build dashboards and reporting tools that show the financial impact of supply chain disruption in plain terms. Utilities can walk into a regulatory meeting with clear, transparent evidence of what is driving costs and what steps they are taking to minimize them.

For customers, the same approach applies. Accurate billing, insights into usage, and programs like time-of-use pricing or energy-efficiency rebates help keep trust intact, even when rates rise because of external factors.

A real-world example

The transformer supply chain crisis has become one of the biggest challenges facing utilities today. According to Power Magazine, transformer lead times that once averaged 30–60 weeks have ballooned to 115–130 weeks, with some large units taking more than 200 weeks to deliver. At the same time, transformer prices have risen by 60–80% since 2020, driven largely by spikes in steel and copper costs.

For a utility planning to replace $100 million worth of transformers, those increases could push costs to $160–180 million, straining budgets and delaying reliability projects.

This is where data-driven tactics matter. With predictive maintenance and asset health analytics, utilities can safely extend the life of many existing transformers, prioritize which ones need replacement, and identify procurement alternatives. Instead of overspending $160+ million, a utility might strategically invest closer to $65–70 million, maintaining grid reliability while navigating global supply shortages.

Why HEXstream

This is not just theory. HEXstream has delivered results for some of the largest utilities in North America, helping them save more than $500 million in energy costs as they integrate complex data streams and improve service for millions of customers.

What sets us apart is not just our technology, but our partnership approach. We do not deliver a product and walk away. We work alongside utility teams, understand their challenges, and build solutions that help turn challenges into opportunities.

CLICK HERE TO CONNECT WITH US ABOUT OVERCOMING YOUR SUPPLY CHAIN CHALLENGES.