Solar, Sourcing Renewables, Wind - May 4, 2018
Businesses buying renewable power at record pace
A total of 36 businesses, government agencies, and universities have agreed to purchase 3.3 gigawatts of wind and solar power so far this year, setting a pace that could shatter the previous high of 4.8 gigawatts of deals for all of 2017. Of these 2018 deals, 76% involve U.S. power projects.
While large companies, including AT&T and Walmart Inc., are among those who have made deals this year, a report by Bloomberg New Energy Finance notes that a key reason for the record pace is that smaller companies are doing deals as well. "There’s a blueprint now," said Kyle Harrison, a New York-based analyst at BNEF. "So it’s a lot easier for other companies to do it."
Harrison explained that smaller companies have benefited from growing standardization in the ways companies agree to buy clean energy. Sometimes these companies are recruited to buy wind and solar power from the same power plant as larger buyers that function "like anchor tenants," he said.
The report noted that gains are also due to local renewables program and growing demand in international markets like Mexico and Australia.