Importance of asset-level climate data

99% of renewable infrastructure investors are more exposed to climate risks than they realize. Why? Because most risk models fail to capture them. And that data shapes investment decisions leaving assets more vulnerable than expected. Here are 3 specific reasons why: — 1️⃣ They rely on outdated climate data. Most models extrapolate historical trends. But past weather doesn’t reflect the future, and climate risks are accelerating. A 2023 study by the Copernicus Climate Change Service found that extreme heat waves in Europe are increasing faster than traditional climate projections estimated. This is causing unexpected drops in solar farm efficiency. — 2️⃣ They oversimplify asset-level exposure. Most models focus on macro risks (flood zones, hurricane frequency) but ignore what happens at the individual asset level. Two wind farms in the same region can have completely different risk profiles and performances due to microclimate conditions, grid resilience, or localized extreme weather. According to Atlantic Energy report, during Hurricane Ida, some wind and solar projects suffered major damage, while others nearby were barely affected. Yet pre-event risk models assigned them the same risk rating. — 3️⃣ They don’t account for compounding risks. Risk models analyze one factor at a time (flooding OR heat stress OR wind speed). But in reality, risks stack up. California wildfires didn’t only damage infrastructure. They disrupted energy production. Smoke cover reduced solar generation by up to 50% in affected areas, while extreme heat drove up demand (NREL, 2023). Yet most risk models only accounted for direct fire damage. — As renewable infrastructure grows, so does its exposure to climate-driven volatility. The problem? Most investors are pricing risk based on incomplete data. That’s why we built EarthScan — a climate risk platform designed to give investors a clearer picture of risk before it impacts their portfolio. — What’s one thing you wish you could predict in climate risk analysis? #PhysicalClimateRisk #AssetManagement #Finance

Milestone: 20,000 assets are now tracked on Beehive Climate. Employees in flood zones. Data centers facing extreme heat. Offices in wildfire paths. Suppliers underwater. Retail locations in hurricane alleys. 20,000 reasons companies finally understand that climate risk isn't theoretical. Here's what those 20,000 data points taught our customers: A retailer discovered 28% of stores sit in high heat wave areas. That could cost millions in increased pay to comply with OSHA regs. A tech company found 400+ employees live in areas that will see high hurricane risk by 2035. Their "return to office" strategy just got complicated. A tech company found 3/5 data centers in high risk areas. One intense storm could cause a failure worth millions. A VP of Sustainability at a global healthcare company told me last week: "We spent years counting carbon. Meanwhile, the Hawaii fires knocked out our market leadership position there, and the LA fires forced us to leave California entirely." That's the shift. From exclusively measuring your impact on climate (still long-term important) to also measuring climate's impact on you (short-term important). 20,000 assets. Each one represents real people, real operations, real revenue at risk. And we're just getting started.

RISKTHINKING.AI RELEASES GLOBAL CLIMATE RISK RANKINGS FOR THE WORLD’S LARGEST CORPORATIONS Today, RiskThinking.ai revealed the first quantitative ranking of corporate climate vulnerabilities. This analysis includes 13,000 global companies, representing over $80 trillion in market capitalization, and is based on scenario-driven modelling of six million material physical assets worldwide. The rankings provide companies, as well as their investors, lenders, insurers, and regulators, with a robust foundation to assess climate risk, identify their most exposed physical assets, and pursue science-based evaluations to guide critical adaptation investments amid accelerating climate change.   Based on millions of sophisticated climate simulations, these rankings are presented through intuitive, open-source reports that are publicly accessible. Users can look up any company to view its overall ranking and a detailed asset-level breakdown across four escalating risk categories: Low Risk, At Risk, Stressed, and Stranded. Stranded assets may face projected damages exceeding their value. RiskThinking.ai is deeply committed to highlighting climate risk and revealing hidden vulnerabilities that, if left unaddressed, could destabilize markets, businesses, and communities,” says Dr. Ron Dembo, Founder and CEO of RiskThinking.ai. “After years of collaboration with leading corporations, financial institutions, and regulators, we believe it’s time for the public to access these insights and raise awareness of this urgent risk.” The rankings are powered by RiskThinking.ai’s Climate Digital Twin (CDT™). This global risk platform merges the world’s most comprehensive physical asset database with high-resolution global hazard data and a robust stochastic analytics engine.   To search for companies and their climate vulnerability rank, please visit: https://lnkd.in/geBEc2wX #physicalrisk #ranking #vulnerability #insurance #banking #climate

💧 By 2030, 21% of the world’s operational power plants – nearly 800 facilities – will sit in regions facing high or extremely high water stress, according to Bloomberg’s asset-level overlay of WRI’s business-as-usual scenario (excluding wind and solar facilities). Hydroelectric and thermal plants, which depend heavily on water for generation or cooling, are especially vulnerable. As climate change intensifies heat and drought, water risks are no longer just an environmental issue, they are an operational and financial one. Reliability, costs, and regulation will all come into play. 🔎 Asset-level intelligence is key to navigating the energy transition. With Bloomberg’s data-driven insights, investors and companies can pinpoint where vulnerabilities are greatest and where resilience strategies matter most. Bloomberg clients can explore more data via MAP <GO> and read the full Bloomberg Intelligence article here: https://bloom.bg/3UNE2lM #BloombergTerminal #BloombergSustainabilityInsights