The balance of power in the renewable energy market is shifting from the US and Western Europe to the Middle East, North Africa, Southeast Asia, Latin America and Eastern Europe.
That’s the conclusion of analysts at Ernst & Young in their latest quarterly global renewable energy Country Attractiveness Indices (CAI) report, published yesterday.
The report scores 40 countries for national renewable energy markets, renewable energy infrastructures and their suitability for individual technologies.
It concludes that the greatest short-term growth opportunities for renewable energy lie in countries such as Argentina, Hungary, Israel, Tunisia and Ukraine, which all share “an acute need for more renewable power”.
Gil Forer, Ernst & Young’s global cleantech leader, said: “The mature renewable energy markets of Western Europe and the US have been hit by a perfect storm of reduced government incentives, restricted access to capital and increased competition from abroad.
“At the same time we are seeing growing support for renewable energy in emerging markets. Such countries, with a strongly growing energy demand, are seizing this opportunity to leap-frog fossil fuel generation to secure a low carbon and resource efficient future in renewable energy, with 15 emerging markets being added to the CAI in the past two years.”
The top three countries in the poll remain China, the US and Germany, which was the only top-ten European country to rise in the index following news that state-owned bank KfW is to provide more than €100bn of funding to ease the country’s transition from nuclear to renewables.