Crisis cuts European power
The 11th annual European Energy Markets Observatory by Capgemini says that the economic downturn has hampered the business of the Energy and Utilities industry.
16 November 2009
Publication
The economic crisis has cut investment in the European gas and electricity sector by around 15 percent, threatening energy supply security when consumption resumes.
“We had not realised last year that the utilities sector would be hit that hard,” Colette Lewiner, head of utilities at Capgemini said.
“The problem is that utilities have invested around 15 percent less since 2008,” Colette continued, adding the key question was whether there would be enough investment to ensure supply security when consumption rises after the crisis ends
“We are worried because when a company stops investing, we have observed in the past that it takes time for them to start investing again and because of the EU legislation which will force the closure of 8,000 megawatts in old (coal-fired) power plants,” Colette concluded.
To read the full article on Reuters, click here: Crisis cuts European power
Related links:
- Press Release: European Energy Markets Observatory (EEMO) Report highlights turning point for Utilities
- Capgemini in the News: Utilities hit by recession ‘must rethink business’ says Capgemini
- Click here to find out more about this year’s European Energy Markets Observatory report
- Blog: Read Alistair Green blog at Utility Week suggesting an alternative to ‘MI5’ strategy for energy security
- Follow CapgeminiUKPR at Twitter.com
