How can PE or infrastructure fund managers accelerate adaptation in the wind sector?
Author: Anaïs LORAND 
Wind energy assets are directly exposed to environmental conditions, and as climate change accelerates, so do the risks to both performance and infrastructure. Indeed, wind energy output relies on several complex factors, including wind speed, direction, turbulence, geographic distribution, temperature, humidity and wind shear. While modern wind farms are engineered for resilience, intensifying extreme weather events can still disrupt operations, reduce efficiency and lead to structural damage of related infrastructures.
Alongside this reality, there is a growing momentum in favor of investments in renewable energy. Far from slowing capital flows, climate volatility makes investment in climate-aligned infrastructure more essential than ever. In fact, private equity and infrastructure funds are responding decisively. According to S&P Global, private equity and venture capital deals in the global renewable electricity sector reached USD 14.6 billion between January 1 and November 28 2023, the highest total in five years.
Why does climate adaptation matter for wind energy asset managers?
Effective adaptation strategies are essential not only to protect long-term returns but also to preserve asset integrity, ensure safety and optimize operational efficiency. Key climate-related challenges include:
- Performance and efficiency risks
Climate-driven changes, such as higher temperatures, increased humidity and altered wind patterns, can reduce air density and disrupt wind regimes, directly impacting energy output. Inconsistent wind conditions also undermine production forecasts and financial models, creating uncertainty for long-term planning. - Structural and mechanical stress
Extreme weather events, such as storms, landslides and earthquakes, can damage infrastructure (from blade erosion to foundation shifts) especially in offshore environments where repair access is limited. Prolonged exposure to such conditions accelerates wear on turbines, towers and other critical components.
Total Average Annual Loss (AAL) in property damage from a physical risk assessment of onshore wind farms, exported from Altitude
- Increased operational and maintenance costs
Climate impacts such as humidity-induced corrosion, thermal stress and more frequent blade degradation result in higher maintenance needs, increased downtime and greater pressure on cooling/heating systems, all of which add to operating costs and reduce asset lifespans.
To safeguard long-term performance and asset value in the face of increasing climate volatility, wind energy asset managers must take a proactive approach to adaptation. This starts with understanding site-specific exposure and vulnerability, and then implementing targeted technical, operational and financial strategies to build resilience.
What key adaptation measures can wind energy asset managers implement?
A useful starting point is conducting a comprehensive climate risk assessment, such as the one provided by Altitude.
Below are several key adaptation measures to consider (non-exhaustive):
- Assess climate exposure and vulnerability: use advanced climate modeling tools such as Altitude to understand how climate change may impact wind assets at specific sites. Integrate these insights into financial models and location strategies.
- Deploy advanced wind pattern tracking: invest in real-time monitoring technologies and high-resolution meteorological forecasting to track evolving wind conditions and optimize turbine operations.
- Adapt turbine and infrastructure design: incorporate design enhancements such as larger blades to improve energy capture in lower-density air, variable-speed turbines to boost conversion efficiency, leading-edge protection to mitigate erosion and weatherization technologies to maintain performance in extreme conditions.
Adaptation measure screening: leading edge protection systems for onshore wind farms, exported from our Altitude adaptation catalogue
- Invest in innovation and circular solutions: support R&D into next-generation technologies like AI-enabled turbine optimization and explore recycling strategies for blades and other components to enhance sustainability.
- Develop emergency and maintenance protocols: implement robust emergency response plans for extreme weather events, and schedule preventive maintenance to reduce downtime and minimize repair costs.
- Establish a business continuity plan: ensure that all critical systems, from grid connections to supply chains, are backed by contingency plans that protect against operational disruptions.
Adaptation: a strategic opportunity for wind energy asset managers?
Adaptation is not just a risk response, but a strategic opportunity for wind energy asset managers, especially in a world accelerating toward climate-aligned policies and resilience-focused investment criteria.
Frameworks like the EU Taxonomy, SFDR and Task Force on Climate-related Financial Disclosures (TCFD) emphasize the need to integrate physical climate risk into investment decisions. Wind assets that demonstrate resilience are more likely to meet these criteria, retain long-term value and attract institutional capital.
Sources
CFA Institute (2023). Private equity investors in renewable electricity. Available at: https://www.cfainstitute.org/insights/articles/private-equity-investors-renewable-electricity
Energy Central (2023). PE-led farm-ins of European offshore wind assets surge 6x y-o-y to 21 GW in 2022. Available at: https://www.energycentral.com/renewables/post/pe-led-farm-ins-european-offshore-wind-assets-surge-6x-y-o-y-21-gw-2022-oucYbE590GGOEq6
EU Platform on Sustainable Finance (2022). EU taxonomy: Adaptation criteria. Brussels: European Commission.
IEA (2023). Adapting clean energy systems to climate change. Paris: International Energy Agency.
Mirova (2021). Renewable infrastructure as an asset class. Available at: https://www.mirova.com/sites/default/files/2021-05/2021-04-Renewable%20infrastructure%20as%20an%20asset%20class-ENG-vfinal.pdf
NYSERDA (2022). Offshore Wind Climate Adaptation and Resilience Study. Albany, NY: New York State Energy Research and Development Authority.
REN21 (2024). Global Status Report 2024 – Investment Overview. Available at: https://www.ren21.net/gsr-2024/modules/global_overview/03_investment/
Swiss Re Institute (2025). Climate change is altering wind power potential. Available at: https://www.swissre.com/institute/research/topics-and-risk-dialogues/climate-and-natural-catastrophe-risk/climate-change-wind-power.html
S&P Global (2023). Value of private equity-backed renewable investments hits 5-year high of $14.6B. Available at: https://www.spglobal.com/market-intelligence/en/news-insights/articles/2023/12/value-of-private-equity-backed-renewable-investments-hits-5-year-high-of-14-6b-79595438
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