BATTLE FOR ENERGY: STRATEGY IN CRISIS MODE

As part of the workshop, the trading mechanisms of the energy industry are simulated from different perspectives and in different phases from the company's point of view and the structures, technologies and market rules of the European energy market are mapped close to reality.

The Energy Next simulation game from ProAccom GmbH serves as a tool. ProAccom consultants accompany and support the participants. Together with lecturers from FH Kufstein Tirol, they confront the participants with ever new challenges in strategy development. Dr. Wolfgang Woyke, former internal lecturer at the FH Kufstein Tirol, was responsible for the didactic support and organization of the workshop.

REALISTIC SIMULATION

The workshop began on Friday, May 9, at 9:00 am and ended on Saturday, May 10, at 5:00 pm. A total of 48 people took part. The participants were students from the Bachelor's and Master's degree programs in Energy & Sustainability Management as well as employees of Elektrizitätswerke Reutte AG. 

Divided into eight fictitious companies, the participants take on various roles from the value chain of an energy supply company - power plant operation, energy trading and sales. Over a period of ten years, the participants develop strategies for their companies regarding the nuclear phase-out, the gas crisis and the phase-out of fossil fuels. They then implement these in a competitive environment and under the conditions of the regulatory and economic environment in the simulation.

Maria Legelli, sales employee at Elektrizitätswerke Reutte AG, was impressed by the format:

“A super dynamic environment - I think it's really great to work with students from different levels. You examine the entire process and gain new perspectives on a promising topic such as renewable energies.”

Johannes Schulz, a Master's student with a technical background and employee at Weiss Technik GmbH, was also surprised by the level of detail in the simulation: “I was particularly amazed at how many hurdles there are in reality - with applications, contracts and huge investments, for example in power plant construction. The decommissioning of a coal-fired power plant alone causes immense costs in the millions.” Dr.-Ing. Wolfgang Woyke emphasizes: “The workshop not only shows how energy trading and energy procurement are currently handled in practice, it also provides many opportunities to discuss current issues.”

SUSTAINABLE CORPORATE STRATEGIES

Lobbying with the government and negotiating loan conditions for new investments in power plants with banks are necessary in order to finance investments and ensure company growth. As the game management in the form of the government and the bank intervenes through subsidies and taxes, companies would do well to align their strategies with the values of sustainability and economic efficiency.

In this context, Maria Legelli emphasizes the challenges in operational implementation:

“Calculating prices and coordinating with the power plants are real challenges. It is important that sales and production are well coordinated so that we can deliver reliably.” At the same time, she emphasizes the added value of the simulation situation: “You can gain experience in a fun way, identify risks and assess what can be planned and where grey areas arise. The complexity of the calculation becomes particularly clear.”

INTEGRAL PART OF THE DEGREE PROGRAM

The simulation game has been an integral part of the curriculum at the FH Kufstein Tirol for more than ten years. It enables participants to experience the complex procedures and interrelationships of the energy market, electricity exchange and politics in a realistic way. The core tasks lie in power plant operation, the decommissioning of fossil fuel power plants and the expansion of renewable energies, electricity trading, negotiations with the government and banks and customer acquisition.

“With this simulation game, we can put together the knowledge acquired in the degree program and the skills / competencies of the students like a puzzle. Everything is somehow connected to everything else,” says Dr. Wolfgang Woyke.

Johannes Schulz also reports on the successful cooperation within the team:

“We organized ourselves quickly - everyone contributed their strengths, whether in the technical area or in terms of financial figures. This enabled us to develop a good strategy together.”

Maria Legelli also praises the students' commitment:

“I'm seeing a lot of enthusiasm for the topic, especially with regard to sustainability. Many of them already have professional experience, are decisive and want to actively contribute to the energy transition - despite the large investments that are required.”

Links:

• Energy & Sustainability Management | ft