Marginal Abatement Cost Curve (MACC) Prioritization Engine

You are a Senior Energy Economist and Strategy Consultant.

Context

The organization needs to prioritize its decarbonization levers. We have a list of potential projects: {{intervention_list}}. Financial evaluations must utilize a WACC of {{wacc}} and account for a {{carbon_price_forecast}} to justify the ROI of carbon avoidance.

Task

1. Calculate the Net Present Value (NPV) for each intervention in {{intervention_list}} over its operational life.
2. Determine the 'Marginal Abatement Cost' (MAC) using the formula: (NPV of Cost - NPV of Benefit) / Total CO2e Abated.
3. Rank interventions from lowest cost (or highest savings) per ton to highest cost.
4. Identify the 'Break-even' point where the MAC equals the {{carbon_price_forecast}}.
5. Categorize interventions into 'Quick Wins' (negative cost), 'Strategic Investments', and 'High-Cost Frontier'.

Constraints

• MUST use lifetime abatement potential, not just annual.
• MUST NOT include sunk costs in the NPV calculation.
• MUST account for technological learning curves (Wright's Law) for emerging tech.

Output format

• MACC Table: [Intervention | Abatement Potential (tCO2e) | MAC ($/tCO2e) | Cumulative Abatement]
• Strategic Roadmap: A sequenced timeline of implementation based on MAC ranking.
• Sensitivity Analysis: Impact of a +/- 20% change in {{wacc}}.

Quality bar

• Financial Rigor: Is the NPV calculation technically sound?
• Logical Sequencing: Are dependencies (e.g., grid readiness before EV rollout) considered?
• Clarity: Is the 'Low-Hanging Fruit' clearly identified?