Report reveals 2010 increase in renewables investment
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Renewable energy investment increased by almost a third in 2010 thanks to the growth of solar and wind power, according to new research.
The renewables sector received $211bn (£133bn) last year compared with $160bn in 2009 according to the United Nations (UN) report, driven mainly by the sale of rooftop solar panels in Europe and the development of wind farms in China.
The report from the United Nations Environment Programme (UNEP) also showed that new financial investment in developing countries ($72bn) exceeded that of developed economies ($70bn) for the first time.
New financial investments in large-scale renewable energy in Europe fell by 22 per cent to $35bn. But this was more than compensated for by a rise in small-scale project installation thanks to feed-in tariffs and the falling cost of solar panels.
Achim Steiner, UN under-secretary-general and UNEP executive director, said: ‘The continuing growth in this core segment of the green economy is not happening by chance.
‘The combination of government target setting, policy support and stimulus funds is underpinning the renewable industry’s rise and bringing the much-needed transformation of our global energy system within reach.’
The figures revealed how much interest the renewable energy sector has grown in the last decade, with the total investment showing a 540 per cent jump since 2004.
In this time, investments in developing nations have grown from 25 per cent of those in the developed world to slightly more than half of the total amount.
The report also showed that government research and development rose in 2010 by more than 120 per cent to more than $5bn.
The report was created by Prof Ulf Moslener at the Frankfurt School of Finance and Management in Germany, in co-operation with London-based Bloomberg New Energy Finance.
Frankfurt School of Finance and Management president Prof Udo Steffens said: ‘The finance industry is still recovering from the recent financial crisis. The fact that the industry remains heavily committed to renewables demonstrates its strong belief in the prospects of sustainable energy investments.’
