Why the trends of future development of the energy industry scene require a critical and deeper understanding
Insight by Federica Brunetta, Assistant Professor of Corporate Strategy and of Technology and Innovation Management, LUISS Guido Carli University and Scientific Coordinator of Energy Industry – Major of the Master in Management and Technology
The Energy Industry is at the center of the worldwide economic and social stage. According to the BP, energy outlook 2018, by 2040 the increasing prosperity in the fast-emerging economies, will lead more than 2.5 billion people to rise from low incomes. Combined with energy efficiency measures, this increase will drive a growth of one third in energy demand, especially in fast-growing economies, such as China and India. The rise will be pervasive, and impact on both industry and transports. While electric cars and smart and shared mobility will grow substantially, the power sector, with its rising electrification, will absorb 70% of the increase in primary energy.
Another great shift will be in the energy mix, which by 2040 will be highly diversified: renewables will grow fastly, about 40% of the increase in primary energy and so will natural gas, in the light of the continuing expansion of liquefied natural gas (LNG). Sustainability will be key, with carbon emissions requiring concrete actions to reach a real break from the past.
We are therefore looking at major changes in the energy industry scene: these data only highlight some of the trends of its future, which also encompasses relevant challenges for current business models, innovation, digitalization, regulation and geopolitics. Each of these trends enacts a system of changes which require a critical and deeper understanding. The systemic dimension and the complexity of the energy industry are, indeed, one-of-a-kind. They require a well-grounded understanding of its elements, both theoretical and practical.
Through its Major in energy industry, the Master in Management and Technology of LUISS Business School aims to transfer basic knowledge about the Energy industry as well as developing a thorough knowledge of the Energy ecosystem. We aim to teach how to use the data, not simply read them. Our students will learn managerial skills and develop an understanding of the environmental and societal dimensions required to guide their action as future players of this industry.
Discover the program and participate in the next selection!