POWER-GEN Asia 2018

Sessions Speakers Exhibitors Products Press Releases Floor Plan Buzz

Why are Global Investors in Power and Utilities Increasingly Avoiding Coal? (Room Garuda 10A, 1st Floor)

18 Sep 18
4:00 PM - 5:30 PM

Tracks: TRACK B - Finance & Investment

Around the world, sweeping changes in investor attitudes towards fossil fuels--and in particular coal--are beginning to impact decision making by industry management teams, reduce available funding in both debt and equity markets and subdue enthusiasm for the commodity. The discussion will focus on several aspects of why this is a new reality: 1) competitive costs to other traditional power generation and emerging economics of "renewables 2.0" 2) profile of projects underway Around the world where renewables are winning competitive supply auctions with zero subsidies 3) explore how fixed cost renewable alternatives (with constantly falling on-the-run cost profiles) combined with cheap funding compare to variable cost dynamics and realities in coal. Will include exploration of global cost curves for coal mining 4) how batteries will redouble these disinflationary forces of removing marginal cost economics for power markets 5) how emerging markets and economies with lower electricity penetration and faster GDP growth may evolve somewhat differently to the renewable market share gain scenarios in OECD. 6) how these forces may serve to accelerate penetration of electric vehicles and drive new power demand.