Energy transition and transformation of economic models

Scientific project

Economic development has become inseparable from environmental and social conditions. The challenge of the energy transition will inevitably involve profound changes in the economy. From this perspective, financial institutions will play a central role in the conduct and success of this transformation. The conclusions of the “pilot climate exercise” conducted by the ACPR in 2020 show in summary that the exposure of French institutions to the sectors most concerned by the transition risk, as identified in this exercise (extractive industries, refining, oil, agriculture, etc.), is relatively low today. However, several studies highlight the need to strengthen the knowledge, projection and modelling of these sectoral and intra-sectoral transformations which will be induced by the transition to a carbon neutral economy by 2050.

In this context, the Research Initiative “Energy Transition and Business Model Transformation” aims to identify and understand the changes in business models linked to the energy transition in a sectoral and regional approach, in order to better support CACL’s clients in their transitions. This research project brings together specialists in macroeconomics, finance and environmental economics. It aims to contribute to the development and dissemination in academic and professional circles of recent research advances in the field of energy transition and related economic modelling.

The project has 3 main stages:

• Describe and analyse in a theoretical and quantitative way the chain of impacts and the sectoral / intra-sectoral interactions on the basis of different transition scenarios (which implies the upstream construction of one or several scenarios).
• Identify and understand the evolution of economic models (anticipation and analysis of opportunities and risks).
• Propose an application on the economy of the territory and then possibly on the client portfolio.