Extreme weather events have increased in frequency and intensity, but renewable energy projects can maintain financial stability through sound technical and financial risk mitigation strategies.
Extreme weather events are on the rise. Climate changes over the last several decades have caused more heatwaves, floods, and droughts across the world, and resulted in increased risk to property, the environment, and human health.
The development of renewable energy has been a cornerstone of efforts to reduce dependence on fossil fuels and limit global warming. But even for renewable project owners at the forefront of accelerating the energy transition, increasing extreme weather presents operational risk and the potential for major financial losses. This paradox within the energy transition presents an urgent challenge that must be overcome through measures such as technical hardening, accurate loss estimations, and innovative risk…
