Support in development of business model for a new CCS business
Commercial Advisory - Environmental Products
The Engagement:
Support in development of commercial and business model for a new CCS business.
The Client:
Middle East NOC
The Challenge:
Define and implement the business model for a new CCS business to support the decarbonisation of the current organisation and the country’s wider climate goals.
Duration:
Six months
How Energex helped:
Business model definition
- Defined the set of activities to be carried out across the full CCS value chain and across the lifetime of each project
- Defined the corporate entity structure of the CCS business and its governance framework within the wider organization
- Defined the operating model across each element of the value chain, identifying roles and responsibilities of each entity involved and recommending a model that best allocated risks and opportunities
- Defined key terms of commercial agreements with emitters, assessing how risks and revenues can contractually be allocated across the value chain
Implementation
- Supported the development of the PMO for the implementation of the business model selected
- Supported the development and evaluation of the most significant risks associated with the operation of a CCS value chain, including the assessment of potential mitigation options
- Developed the organizational structure and RACI matrix for key roles in the CCS business, helping in structuring interfaces with other functions within the organization
- Developed a roadmap for scaling up the organization as the projects undertaken become operational and its scope of work evolves
- Developed job descriptions of key roles within the organization to support the hiring process
- Provided an overview of the options to finance the development of the projects and the key elements required to achieve bankability
Tangible Impact:
- Provided the client with specific expertise in a sector in the early stages of development and with little precedent to rely upon
- Developed comprehensive sets of options for each key element of a CCS business’s model to ensure the route best suited to the client’s strategic objectives was taken
- Provided a clear view of risks and opportunities associated with each of the options presented to enable effective decision-making
- Supported the client in reaching internal alignment between different business functions on key decisions