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Utility Dive3 days ago

Using scenario modeling to address uncertainty in the clean energy transition

Key Takeaway

Scenario modeling is an indispensable tool for developers and large power consumers to strategically plan and de-risk investments amidst the uncertainties of the clean energy transition.

AI Summary

  • Scenario modeling and forecasting are highlighted as crucial tools for developers and large power consumers to navigate the inherent uncertainties of the clean energy transition.
  • This methodology allows stakeholders to explore multiple 'what-if' futures, enabling more informed decision-making before committing to significant capital projects or long-term energy strategies.
  • By de-risking long-term planning, scenario modeling helps developers and IPPs optimize investment portfolios and large loads secure reliable, cost-effective power in an evolving market.

Topics

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Article Content

Scenario modeling and forecasting gives us the ability to answer multiple “what-ifs” and explore many futures before committing to one, making it a crucial tool during the energy transition, writes Kaushik Telgaonkar.