With experience across a range of modelling and coding platforms, our experienced analytics team develop and build a broad range of economic and financial models. From customised, stand-alone Excel models right up to centralised, client-server, integrated modelling systems that can be used by dozens of people simultaneously, anywhere in the world.
Our tools are robust and integrated from front to back end, avoiding messy add-ons and retro fitted features and work-arounds.
Over more than two decades, Frontier Economics has refined a design philosophy and approach to development that ensures that our tools are:
Our experience in developing built-for-purpose and bespoke economic and financial models has helped our public and private sector clients prosper across a range of industries.
We work with our client to understand the ‘look and feel’ of the model, and identify the key features that model users will require. This ensures the model meets our clients’ needs, no matter how refined. We combine these needs with our extensive experience, ensuring that our clients receive the right modelling tools to support their decision making.
energy42 is an integrated electricity, natural gas and hydrogen investment model which simultaneously optimises investment and dispatch in production, storage and transmission across each sector.
Leveraging 20+ years of energy sector modelling experience, energy42 helps make complex investment decisions across electricity, gas and hydrogen sectors. By optimising simultaneously across these sectors, rather than sequentially, energy42 provides a powerful tool to model the real-time interactions between electricity, gas and hydrogen production and storages. It can model scenarios to find the optimal investment outputs, revenues and prices – results which can then be used to inform future policy and investment decisions.
Australian Carbon Credit Units (ACCUs) are a tradable financial product. They incentivise carbon abatement activities through projects ranging from reforestation to energy efficiency. One ACCU represents one tonne of carbon dioxide equivalent (tCO2-e) that would have otherwise been released into the atmosphere.
Frontier Economics' Australian Carbon Credit Unit (ACCU)/Safeguard Mechanism market model allows us to forecast ACCU prices to 2050. The granular, bottom-up, model forecasts ACCU prices by interacting voluntary and compliance demand for ACCUs with Marginal Abatement Cost (MACC) curves across time.
Our proprietary model can run different scenarios, provide maximum and minimum ACCU prices for sensitivity analysis, and can identify different sources of abatement supporting the ACCU market.
Examples of how our clients have used our ACCU/Safeguard Mechanism model include:
The ACCU/Safeguard Mechanism model is based on Frontier Economics’ extensive experience in carbon market design, emissions modelling, industry knowledge across energy, transport, waste, land use, and resources, and collaboration with leading academic experts.
Given the increasingly interrelated nature of our water cycle, it’s no longer enough to separately assess our investments to manage long-term water security, short-term drought and wastewater and stormwater volumes.
Combining hydrological and economic analysis, our latest water model assesses the costs and benefits of alternative drought sequences to identify which supply or demand measure, or portfolio of measures, delivers the greatest value to the community, given uncertainty.
Our model helps decision makers answer questions like these, and more:
With 20+ years of experience in evaluating the economic, cultural, social and environmental costs and benefits of water security measures, under uncertainty, our Hydroeconomic CBA model provides advanced risk and uncertainty analysis using real options analysis.
The model combines the flexibility to model multiple drought sequences at once – to answer what should we do given we don’t know whether we will go into extreme drought and in-depth analysis of a single drought sequence to answer – if we were in this drought sequence, what should we do?
