A real necessity in modern volatile Energy Markets – A real necessity for Greece.

The Energy sector plays a major role in today’s world economy.

The cumulative needs for new energy supply infrastructure is tremendous and represents an investment of up to US$ 38 trillion over the next 25 years which will be required to ensure a secure, more efficient, and hopefully greener, energy supply to the world . The financing of this global investment will be an unprecedented challenge for producers, consumers, banks, governments, regulators and capital markets.

This huge expenditure will take place in a context of record uncertainty: energy markets have been fully deregulated in the mature economies; the implementation of climate change response policies and the emerging of a carbon price in a growing number of large countries are adding a new layer of volatility into already volatile energy prices; and geopolitical tensions are exacerbated as the whole world is seeking for more energy resources.

In the face of these developments, universities will have to review their strategy and individuals will have to change their behaviour, and energy policy institutes to adopt visionary policies.

Given the extent of the technological, social and environmental challenges they face, energy companies and organizations will continue to require talented energy professionals who, in addition to solid scientific knowledge, will have a sound grasp of the relevant economic and financial issues in the so competitive energy sector.

Considering the amount of capital needed to boost energy supplies and promote the necessary technological innovations in a world of high uncertainty, expertise in energy finance, energy economics, Climate – Energy Policy & Regulation and Economics of Natural Resources are of the utmost importance for decision making and forming policy. The challenge is primarily technological but also managerial.

All these current trends in energy sector triggered almost the majority of US universities to establish Energy Management & Economics Institutes covering these fields. In Europe also the last years plenty of Energy Management masters have been created in order to cover the increasing need of skilled energy professionals.

Taking in consideration all the abovementioned parameters, it would be imperative an Energy Management & Economics Center to be established in Greece and especially in Athens University of Economics and Business.

Energy Sector in Greece will face a significant transformation the following years implementing the “Target Model” in wholesale electricity market and deregulating both markets of electricity and natural gas.

The most important and valuable asset of Greek Economy is its human capital. There is no time for spare, let’s energize our knowledge…

By Dimitris Sarantopoulos,
Director of AUEB Energy & Sustainability Club