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Renewables at a Crossroads |
The renewables market has evolved in important ways,
setting the stage for it to maintain its economic
viability and continue to grow. One of the hallmarks of
the renewables sector today is its structural diversity
in terms of the technologies, players, and geographic
regions involved in its growth.
For that growth to continue, companies and investors
participating in the sector will need to explicitly
address uncertainty through effective risk management
and contingency planning. In many cases, even those
investments with promising near-term prospects will need
to be evaluated on the basis of their ability to adapt
to future fluctuations in demand. The relatively
favorable investment climate of the past decade
attracted a bevy of companies that lacked the expertise
to build and sustain a competitive advantage. With
industry consolidation now on the horizon, those that
survive will be the ones that develop the strategic and
operational capabilities required to capture value and
manage regulatory and market risk.
pdf 2011 |
