Background

The energy transition calls for more affordable and cleaner electricity, driving a shift in power generation from fossil-based sources to variable renewable energy (VRE) technologies. However, thermal generation assets remain essential to ensure grid stability and energy security. While future energy outlooks project a fairly constant thermal generation capacity, the utilisation factor of these assets is expected to decline significantly, potentially leading to revenue erosion. At the same time, fixed and maintenance costs are likely to rise, creating pressure on asset profitability and discouraging investments in new thermal projects.

To adapt, thermal plants must become more flexible, with designs that can accommodate frequent start/stop operations. Understanding the evolving economics, market mechanisms, and regulatory frameworks is critical for stakeholders across the turbomachinery value chain.

To support this transition, the ETN External Taskforce on the “Profitability of Thermal Assets” is launching an online seminar series consisting of six interactive sessions. These will take place from September 2025 to March 2026, providing participants with a structured introduction to the economics of thermal power assets and electricity markets.

Abstract of the first seminar

The first seminar of the new ETN series on “Profitability of Thermal Assets”, titled “Basic Economics of Power Plants”, will take place on Monday, 29 September from 15:00 to 16:00 (CET). The seminar will provide a foundational overview of the key financial drivers influencing power plant economics.

In the first part, the session will delve into the core cost components including capital expenditures (CAPEX), fuel costs, operational expenditures, and other financial fundamentals. In the second half of the meeting, participants will also gain insights on dedicated programs and strategies aimed at reducing the costs of ownership.

Presenters

Presentations will be provided by Stefano Mazzoni (Assistant Professor, University of Rome Tor Vergata) and Arnando Salas (Product Owner of Maintenance Optimization, Engie Laborelec).

Registrations

Registrations are free, but mandatory to attend the webinar. To register, please visit the following page.