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Case Study

Case study: Renewable strategy review

European power utility

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The challenge

Operating in a rapidly evolving sector, this client wished to revisit its current strategy to ensure it properly reflected and capitalized on the opportunities of renewable energy – solar PV and wind power in particular.

The solution

Wood Mackenzie Power & Renewables worked in two phases both culminating in a workshop with the utility executives.

Phase I: Utility-scale renewables (onshore and offshore wind, PV, and battery storage), geographies, value chain, customers, and timelines. Key areas included CAPEX, EBIT, IRR, business models, market attractiveness, and merchant renewables.

Phase II: Changing value pools, value creation and destruction, 20 new business models, risk-return curves, disruptive technologies, and assessment of fitness of the utility’s current strategy.

The results

Based on the delivered analysis and two face-to-face workshops, the utility was well equipped with a clear overview of the current and future state of renewable energy in the power markets. Similarly, an understanding of the opportunities and threats that face the classic utility business model was created in dialogue with the Wood Mackenzie Power & Renewables team.

Europe Power & Renewables Service

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