Transition Risks for Electric Utilities
Since the FSB Task Force on Climate-related Financial Disclosures (FSB TCFD) published its recommendations, there has been a greater emphasis on scenario analysis to assess the opportunities and risks from measures taken to limit global warming. Building on the report "Investor primer to transition risk analysis", this report has two climate scenarios for the utilities sector, and specifically for Engie, ENEL, and EDF. The report shows the implications for these companies’ valuations under two illustrative strategic choices. It provides insights for company engagement and financial performance with their regional and technology contributors as well as sensitivities.