How should we prepare for the future of energy?

The author contends that while global electricity demand is rising sharply, the traditional utility business model is being disrupted by renewable energy subsidies and the need for smart grid technologies. To secure the estimated US$ 17 trillion needed for infrastructure by 2030, regulators must provide predictable policy frameworks to reduce investor risk and lower the cost of capital.

• Global electricity consumption is projected to grow by 93% between 2010 and 2040, requiring an estimated US$ 17 trillion in electricity supply infrastructure investments over the following 20 years.
• The traditional utility business model, which relied on regulatory stability and low costs of capital, is being challenged by the rapid adoption of new technologies, the need for smart grids to manage volatile renewable production, and high renewable energy subsidies.
• Predictable and stable long-term regulatory frameworks are essential to reduce policy risk and the cost of capital, thereby encouraging global capital to flow into the electricity sector.
• Efficient energy investment requires a division of labor where financial markets provide the capital and utilities manage the market risks associated with new technologies.

APA

Terium, P. (2014). How should we prepare for the future of energy? World Economic Forum. https://www.weforum.org/stories/energy-transition/prepare-future-energy/

Chicago

Terium, Peter. How should we prepare for the future of energy? World Economic Forum, 2014. https://www.weforum.org/stories/energy-transition/prepare-future-energy/.

Wikipedia

{{cite press release |last1=Terium |first1=Peter |title=How should we prepare for the future of energy? |publisher=World Economic Forum |date=21 January 2014 |url=https://www.weforum.org/stories/energy-transition/prepare-future-energy/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{terium2014how, author = {Terium, Peter}, title = {{How should we prepare for the future of energy?}}, publisher = {World Economic Forum}, year = {2014}, month = jan, url = {https://www.weforum.org/stories/energy-transition/prepare-future-energy/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }