The power generation sector in the future will be shaped by a number of factors, including steadily rising electricity demand over the long term (which will see electricity increasing its share of useful energy delivered to consumers), the changing dynamics of the energy mix, challenges in securing fuel supplies, commodity price volatility, potentially inadequate investment, and environmental policies. Overall, there is a global need for huge increments of new capacity, driven by increasing demand in developing countries and plant obsolescence in the developed world. Moreover, recent events in Japan have raised new doubts about the future role of nuclear power as a base load generator.
Governments and regulators are faced with the challenge of creating the right energy mix, while securing supply, complying with environmental regulations and providing the lowest total cost to the final consumers. And whilst renewable energies provide a path to decarbonization they do not necessarily provide security of supply or the lowest total cost to the system.
At present no market model is perfect, with many showing numerous pitfalls. Correctly addressing these faults is fundamental to creating a diverse power generation portfolio and encouraging private sector investment. Many regions are now in a transition period, unbundling the current industry structures while transitioning to a cleaner energy economy. This changing landscape is opening the door for new entrants while posing both threats and opportunities for existing players.
Why choose Ricardo
RSC has the knowledge, experience and skills to advise clients on the best course of action to meet their strategic objectives, based on a deep understanding of the issues affecting the future energy mix, policy and regulatory frameworks, and technological developments. We offer the full range of consulting services, with particular strengths including:
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Corporate strategy and development
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Portfolio optimization
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Feasibility studies and cost assessment
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Commercial due diligence
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Regulatory and policy advice
RSC clients in the Power Generation space include utilities, oil & gas companies, automotive OEMs, manufacturing conglomerates and the investment community. RSC works with our clients’ top teams to develop policies and strategies to create value and maximize the opportunities available in the changing energy world.