Sourcing Renewables - July 14, 2020
American RE investment could be on track for $1T by 2030
Energy storage was identified to be the most attractive renewable energy sector for investment between 2020 and 2023 in a new analysis of investor response following the economic downturn.
Expectations for Renewable Energy Finance in 2020-2023 was released July 14 by American Council on Renewable Energy (ACORE). The report tracked progress on the $1T 2030: American Renewable Investment Goal and found that in 2019, an eighth of the total $1 trillion campaign goal was met. To achieve the remaining investment by 2030, ACORE found that an average of $87.5 billion a year will need to be invested through 2029, representing an annual increase of 28% over the 2019 investment level.
“While it’s clear we’ve made important progress toward our goal, achieving $1 trillion of private sector investment by 2030 will require policies that allow the renewable industry to grow through the challenges associated with the pandemic,” ACORE President and CEO Gregory Wetstone said in a statement. “Fortunately, as our survey results show, the fundamental health of the sector is strong and renewable energy remains one of America’s most attractive investment options.”
The report found that investors are generally optimistic about the recovery of the renewable energy and energy storage industry over the next three years. While energy storage ranked as the most attractive sector for investment in that time frame, it was closely followed by utility-scale solar and residential/commercial solar. A majority of inventors reported that they don’t foresee long-term impacts of Covid-19, but half did say that their immediate development plans changed significantly.