An investment readiness methodology and assessment

LCP Delta developed an investment readiness framework that enabled Scottish Government to identify opportunities and barriers to attracting private sector investment into Scotland. The assessment, validated through stakeholder engagement, has supporting the client in progressing towards its net zero goals.

Background

The Scottish Government has committed to a just transition to net zero by 2045 and the cost of this transition cannot be met by public sector funding alone. It must therefore include substantial private capital investments into net zero sectors, such as energy.

Client needs and key questions

Scot Gov wanted to identify key risks and opportunities in key energy sectors which directly impacts the level of private capital that enters each sector. These findings would then be used to provide a basis for future measurement and evaluation of key sectors, thereby supporting efforts to improve investment readiness of net zero sectors to reach its net zero goal by 2045.

Our outcome

LCP Delta supported the client in achieving its goal through:

• Developing an approach for assessing the investment readiness of net zero energy sectors.
• Applying this approach to several key energy sectors.

LCP Delta used its own investment expertise and extensive stakeholder engagement to validate the methodology and findings with key stakeholders, including government, investment managers and asset owners.

The outcome

LCP Delta has equipped the Scottish Government with a robust methodology for measuring and evaluating the investment readiness of energy sectors in Scotland, thereby supporting its efforts to attract capital into the sector to meet its net zero goals.

The analysis identified previously uncovered key interdependencies, barriers and opportunities for priority action by the client or its partners in key energy sectors.