PCG's experts in utilities and alternative energy are assisting global companies to navigate the challenges in this rapidly expanding industry.
We work with our clients to address pressing issues around emerging technologies and renewables, networks and capital investment logistics, as well as analysis on market and regulatory reform, to help them capitalise on new opportunities.
- Corporate strategy
- Exploration focus and effectiveness
- Generation portfolio optimisation
- Market analysis
- Privatisation acquisition strategy
- Project evaluation
- Renewable energy portfolio strategy
- Vertical integration strategy
Power Company Surges Ahead
When a power company needed to assess the rescale of a project, it approached PCG to assist with a business plan to perform due diligence. PCG developed a business case addressing all considerations from a commercial, technical and regulatory point of view.
A government review had questioned Power Company's proposal (approved by the economic regulator) to build a major augmentation to its transmission network.
There was a need to scale back the proposal and focus on the transmission line segment to optimise net benefits.
A business case was prepared for the construction of a major augmentation to the southern section of the original proposal costing approximately $300 million.
A new industrial project underpinned the majority of the new revenue and also contributed by building a private transmission line to connect to Power Company's transmission network.
The expected Net Present Benefits was estimated at approximately $450 million, exceeding the Net Present Cost of $300 million (a requirement of the economic regulator).
A high-quality, commercial business case was prepared and submitted to Power Company's board for approval to be submitted to the government.
The government's confidence in Power Company's justification for the redefined project from a commercial, technical and regulatory point of view was restored.
It is anticipated that Power Company will receive full funding from the government for the full amount submitted.