Energy Asset Valuation

Competitive advantage

• Ability to conduct market-based asset valuations, taking energy production and storage process options into account
• Expertise in assessing the optimal timing for investment in energy assets, despite an uncertain policy environment

Impact

• Enabling the optimal adoption of clean technology to combat climate change
• Creating sustainable operations that achieve environmental stewardship

Successful applications

• Valued thermal generating units subject to physical constraints such as ramping, minimum up/down times, overfiring and preventive maintenance
• Compared tradeable permits and carbon taxes in terms of how each instrument can effectively induce clean technology adoption
• Valued the investment of a fast pyrolysis facility for producing cellulosic biofuels in Iowa

Capabilities and facilities

• Unit commitment problem in a power grid
• Clean technology investment valuation