This project considers how to build portfolios of clean energy technologies, with the aim of accelerating the transition to a zero carbon economy. Large, targeted investments in just a few promising energy technologies can spur very rapid improvements, with some risk of failure, while diversified investments over many possible technologies can increase the chance of finding superior options in future. This work uses techniques from quantitative finance and statistics to characterise this exploration/exploitation trade-off and find the optimal technically feasible energy technology mix for a fast, low cost transition to a sustainable system.
People: Rupert Way & Doyne Farmer