China ranks first and Greece… 33rd
China remains at the top of the Renewable Energy Attractiveness Index (RECAI), according to the latest issue of Ernst and Young’s six-month survey, leaving the U.S. behind, in third place, while Greece ranks 33rd. Meanwhile, either India remains or not in second-place is uncertain for now, as cancellations of wind power purchase agreements and vertical cuts in bids at recent auctions have cast doubt on the goal of 100 Giga Watt solar photovoltaic power until 2022.
Having lost the first place in the previous issue of the Index, the U.S. remain in third place. In addition to recent presidential decrees that overturn existing climate change policies, the U.S. International Trade Commission (USITC) issued, in September, a preliminary ruling according to which increased imports of solar panels could potentially be a “serious blow” in the domestic market.
Beyond that, and according to survey data, the positions of the Middle East and North African countries in the ranking are improving due to the increase in renewable energy activity (RES) and a series of political developments, financing agreements and offers in the region. In Egypt, the International Finance Corporation has approved a $ 635 million spending on 500MW solar power projects. Saudi Arabia has called for offers for the first, large-scale wind farm with a power of 400MW. Algeria is entering the Index for the first time, ranking 38th with a competition for a 4GW solar power plant.
Despite the instability in the region, South Korea climbed four positions, occupying the 29th place after plans announced by the newly elected President Moon who talked of a RES increase of its share from 6.6% today to 20% by 2030.
France also moves steadily to the top five of the Index, holding the sixth position, amid new competitions and acquisitions, coupled with the strong political support for RES from President Macron.
Greece on the 33rd place
Greece, according to the latest issue of the Index, fell one position, ranking 33rd. Commenting on the ranking of Greece, Mr. Tasos Iosifidis, Partner and Head of the Financial Advisory Department of the Hellenic Republic, said: “Our country meets the objective conditions so as to become a truly attractive destination for RES investments, especially in the wind and solar power fields. This retreat of our country to the EU Index is a reminder of the need to insist on efforts to improve the legislative framework and tackle bureaucratic obstacles. Greece’s rise by eight places in the ranking of the previous index shows that we can achieve our goals.”
Solar and wind power to become the 34% of electricity in 2040
On the occasion of the 50th edition of the RECAI Index, the survey looks at the course of the past 15 years, highlighting key milestones in the evolution of RES and predicting that new wind and solar power plants will account for 34% of global electricity production 2040. The report also highlights the way in which three critical factors -digitisation, decentralisation and carbon emissions- reshape the retail energy market and how new, flexible competitors change the market share of traditional suppliers…/IBNA