Energy Innovation and the New Landscape of Risk Management

By Vanessa Falco

Innovation in energy matrices is redefining the role of risk management in the sector. As emerging technologies gain scale and new operating models become consolidated, risks are becoming more interdependent, complex, and often unprecedented.

This transition—marked more by the addition of multiple energy solutions than by the replacement of fossil fuels—requires organizations to take a strategic stance in a volatile environment shaped by regulatory changes, technological advances, climate risks, ESG pressures, and geopolitical tensions. The conflicts in Ukraine and the Middle East, for example, illustrate how energy supply is vulnerable to external factors, reinforcing the urgency of integrated risk management.

Brazil, meanwhile, holds a privileged position. With an electricity matrix that is predominantly renewable and public policies that encourage innovation, the country leads the energy transition in Latin America.

This leadership, however, requires preparation. The incorporation of new energy sources and technologies demands solid and robust governance, in addition to risk management aligned with the technical, regulatory, and reputational challenges that accompany this transformation.

How should organizations deal with technologies that are still maturing? How can failures in critical infrastructure be anticipated? And how should they respond to increasing demands from investors and regulators, especially regarding climate-related risks?

In this context, risk management ceases to be a secondary activity and becomes a strategic function. More than a control mechanism, it becomes a pillar for sustainable decision-making in an environment of constant transformation. It involves the ability to map operational, financial, climatic, and geopolitical uncertainties and transform them into structured responses aligned with business objectives. This means connecting technical analyses to extreme scenarios, simulating impacts, preparing early responses, and integrating risks into decision-making.

Among the most sensitive challenges are the fragility of global supply chains, dependence on the import of critical inputs such as solar panels, the logistical barriers of biomethane, technological uncertainties surrounding green hydrogen, and the continuous evolution of regulatory frameworks. These are factors that, if not properly managed, may compromise the solidity of a safe, competitive, and sustainable energy transition.

Building a resilient energy sector is a collective effort involving companies, investors, and policymakers. Brazil has renewable potential, qualified human capital, and an evolving regulatory framework. With risk management that matches this challenge, the country has the opportunity to lead the global energy transition with safety, innovation, and sustainability.

Vanessa Falco is Director of Risk and Insurance at Horiens.