Both energy transition and climate change adaptation are unavoidable challenges to be tackled in the long run. They can occur in a chaotic and uncertain manner and will affect the environment in which corporates (operations and markets) operate. Stakeholders, in particular in the financial sector, are increasingly asking companies to provide information regarding their alignment with the Paris Agreement targets. This information, however, does not cover all the issues at stake and, as such, cannot substitute for a more in-depth analysis carried out by companies.
A scenario-based foresight analysis is to consider how an organisation might perform under possible but different futures, each of them described by a scenario. This is an appropriate tool for incorporating energy transition and climate-related issues (mitigation and adaptation) into a company’s strategic planning and for understanding the related uncertainties.
AFEP commissioned the think tank The Shift Project to conduct a study to provide French companies with insights on the issues related to energy and climate scenario analysis and to help them implement action plans compatible with the goals of the Paris Agreement.