- October 2, 2018
- Posted by: Gareth Whalley
- Category: Latest News & Blog
- UK slips down the rankings for renewable energy
- Loses appeal as a destination for renewable energy investment
- China takes pole position
- British government withdrawing Renewables Obligation (RO) early
- Germany lets it position to slip to the fourth position
Read Ernst Young’s Renewable Energy Country Attractiveness Index (RECAI) and it makes a harrowing read for the UK. In 2018, we’ve slipped another position in the latest report, falling to the 8th position behind Japan.
The international accounting juggernaut E&Y released the 52nd edition 2018 Renewable Energy Country Attractiveness Index (RECAI) scores, showing that the U.S. is second only to China in terms of attractive to the renewable energy sector whereas UK loses it previous rank to land at the 8th position.
This recent revelation shows the UK at its lowest level for almost ten years. This is in no part due to a recent consultation on solar subsidies. Apparently, the government has indicated it will withdraw its Renewables Obligation (RO) support for solar projects two years earlier than planned.
This has sparked the reaction. Plus with most of the funding available already allocated to renewable energy projects until 2020, the UK is looking less desirable for investors.
Let’s take a look at the movers and shakers:
|Country||Rank (2018)||Previous Rank||RECAI Score|
Other factors are affecting the UK’s ability to attract new investors. Competition is booming on an international basis. India is in the process of overhauling its energy policy. South Africa, Chile and Kenya are developing deployment pipelines and there’s a sense of a dip in the appeal of the UK’s renewable market.
Prior to the government’s consultation in May it was thought the UK’s solar sector was booming. Now, thanks to proposed policy tampering, emerging markets and government interference, there’s been a shift in the market as the UK loses ground.
Still, it’s not all bad news.
According to Ernst Young (EY), the UK is only the sixth nation to surpass the 5GW installed capacity mark. Plus 1.5GW of new capacity has been installed in the first part of 2014, that’s more than the whole of 2013!
In fact, there’s a bright future for renewable energy in the UK and countless households and businesses are embracing the benefits of green energy.