Utility companies face increasing regulatory stresses, while asset-renewal requirements and new climate policies are pressuring them to increase investments. Rising fuel costs are simultaneously pushing up energy and water prices, while customers are becoming more and more price sensitive. In this tough environment, CRA provides clear-sighted direction to gas, water, heat, and electric companies to help them increase efficiency across the value chain.
We understand both the fundamentals and the nuances of utility markets and have the knowledge and insight to help you address policy challenges, resource constraints, and other critical business issues. Our experts have years of operational experience in the utility industry and have worked with companies in many jurisdictions.
Known for high-quality analysis and clear recommendations, CRA advises utility clients on a full spectrum of matters – from fuel markets to retail services. Our clients include utility companies, their investors, and regulators.
CRA’s recent work for European clients includes:
- Market analysis, pricing, and asset valuation – Our work in this area includes developing energy price and asset/contract value models. We also analyze risk and develop risk mitigation strategies.
- Investment appraisal – The investments we’ve appraised range from large-scale internal programmes to major new facilities, such as power plants, transmission and storage facilities, and water treatment plants.
- Mergers & Acquisitions – CRA has provided services to acquirers and sellers in support of transactions related to individual assets and full operational entities. In large scale acquisitions, CRA is known for competition advice in front of cartel offices and regulatory bodies.
- Market development and regulatory advice – We’ve advised utilities and policy-makers of the implications on energy markets of policy changes, new technologies, and regulatory matters.
- Energy trading operations and market risk management – Our experts have advised on the mitigation of external market and regulatory risk, and they have designed and helped implement efficient, secure operational policies and procedures for trading.
- Network business – We have particular expertise in modelling networks and the impact of new transmission lines and inter-connectors on wholesale markets. We are also experienced in the strategic and operational transformation of transmission and distribution companies.
- Retail business – CRA has helped utilities improve their sales productivity and margins, both by realigning sales strategy and improving internal processes.
- Climate change – CRA consultants have analyzed the implications of delivering emissions targets and considered the implications of large-scale technologies (e.g., nuclear, wind) and local technologies (e.g., smart meters, micro-generation) on utilities.
- Performance management – We’ve developed operational strategies and translated them into change programmes to deliver measurable performance improvement.
- Auctions – CRA has designed and managed auction processes for selling energy assets (e.g., generating capacity or transmission rights).