UK investment into renewable energy falls dramatically while global investments exceed $240b
While global investment into clean energy developments increased 30% in 2010, in the UK it dropped 70%. These figures are according to new research by The Pew Charitable Trusts.
Worldwide investments into this sector reached $243 billion (€172 billion), with China remaining the global leader, attracting a record $54 billion in equity last year. This is a 39% increase on 2009 figures.
Germany doubled its financing to $41.2 billion, bringing it from third in 2009 up to second last year. And for the first time India moved into the top 10 and increased its investment by 25% to $4 million. Although the US saw a 51% increase in its investments to $34 million, it fell to third place in 2010.
But while investments continued to rise across the world in 2010, in the UK it fell by 70% and the nation's position among G-20 leaders fell from fifth in 2009 to 13th last year.
'With a new government in the United Kingdom, investors appear to have taken to the sidelines until there is more certainty in the marketplace,' explains Phyllis Cuttino, director of Pew's Clean Energy Program. 'Our research consistently demonstrates that strong policy attracts investments. Nation's like China, Germany and India, which all saw an increase, were attractive to financers because they have national policies that create long-term certainty for investors.'
However, despite the UK's lack of investment, Europe remained the leading recipient, attracting $94.4 billion. This was led by Germany ($41.2 billion) and Italy ($13.9 billion).
China led the Asia/Oceania region, which continued to rise, and attracted $82.8 billion, a 33% increase compared to 2009 figures. Installed generating capacity increased to 388GW from biomass, wind, small hydro, solar, geothermal and marine, with China accounting for over 25% of the global total. Despite witnessing a growth in investment of 35%, the Americas remains third, attracting $65.8 billion.
Since 2004 worldwide clean energy investment and finance has grown 630%.