SDP London Chapter,
You are invited for a meeting of the SDP London Chapter (held virtually via Zoom) for a presentation on May 4 at 15:00 – 16:30 UK time (9:00 – 10:30 am CDT) to discuss “The Coming Energy Transition: Value Metrics and the Social Cost of Carbon.”
Agenda |The Coming Energy Transition: Value Metrics and the Social Cost of Carbon.”
Date: May 4, 2021
Time: 15:00 – 16:30 UK time (9:00 – 10:30 am CDT)
Abstract
Energy companies have no shortage of strategic alternatives to consider in the coming transition away from fossil fuels and toward renewables. Investments can be made in solar, natural gas, carbon capture, methane reduction, or biofuels to name a few. In this changing energy landscape, new value measures have emerged as well. Should companies focus on carbon intensity (gCO2e/MJ) or their absolute emissions (CO2e)? How should NPV and other economic value measures be weighted relative to environmental value measures?
Likewise, carbon pricing is likely to take on growing significance in the coming decade as investors, consumers, and regulators increasingly require business leaders to incorporate the cost of carbon into their decision making. Less clear is the appropriate price to place on carbon.
In this presentation, we will discuss how different value metrics can shape energy transition strategies. This includes placing a cost on carbon. We will show how the tools of decision analysis are particularly useful in understanding drivers of the social cost of carbon and the uncertainty associated with this estimate.
