Renewables: The Climate for Investment 2020
20 February 2020
The renewable energy sector requires new ways of thinking about energy generation, new ways of working and new approaches to resource consumption. As climate change becomes an increasingly bigger issue, governments and industry bodies are responding with new policies and incentives. This report is aimed to provide a high-level understanding of what the climate for investment is across 10 key countries for 2020: Argentina, Australia, Brazil, Canada, China, France, Germany, India, UK and the US.
The challenges and opportunities Australia faces in developing renewables into the energy mix
Investors may be concerned by the transition to a renewables-based grid and changes of feed-in tariffs. Difficulties of obtaining permits are likely to cause troubles to offshore investors.
Lack of grid capacity is one of the biggest obstacles for implementing new renewable energy schemes. Therefore, development of renewable energy hubs and transmission infrastructure within regions are critical network developments for the Australian market and for further renewable investment projects. The situation is expected to be improved as state governments willingly cooperate with transmission operators.
Reaching the renewable energy targets may lead to the termination of subsidies from government to wind, solar and hydro power projects. Whilst the Australian government policies are foreseen to remain favourable to investors, they still need to be more transparent.