Pew Report: Record $263 Billion in Global Clean Energy Investment

AsiaNet 48981

WASHINGTON, Apr. 12, 2012 (ANTARA/PRNewswire-AsiaNet) --

                -- Asia, Oceania region grows 10 percent led by Australia, Japan, India, and Indonesia

     Global clean energy finance and investment grew to $263 billion in 2011, a 6.5 percent increase over the previous year, according to new research released by The Pew Charitable Trusts. Investment in the Asia and Oceania region grew 10 percent to $75 billion, and the region is the second leading destination for clean energy investment. Relatively flat investment in China was mitigated by sharp gains in India, Japan, and Indonesia, which were among the fastest growing clean energy markets in the world.

     "Clean energy investment, excluding research and development, has grown by 600 percent since 2004, on the basis of effective national policies that create market certainty," said Phyllis Cuttino, director of Pew's Clean Energy Program. "This increase in investment is significant because it drives innovation, commercialization, manufacturing and installation of clean energy technologies that create new opportunities for innovators, entrepreneurs and workers alike."

     Among renewable technologies, investment in solar increased by 44 percent, attracting $128 billion and accounting for more than half of all clean energy investment in G-20 countries. Dramatic price declines, with the cost of solar modules dropping by half in the past 12 months, fueled the activity. Wind prices also declined in 2011.

     Last year, almost 30 GW of new solar and 43 GW of wind power was deployed globally. The combination of falling prices and growing investments accelerated installation of clean energy generating capacity by a record 83.5 GW in 2011 bringing the total to 565 GW globally. This represents nearly 50 percent more than installed nuclear power capacity worldwide by the end of the year.

     "The clean energy sector received its trillionth dollar of private investment just before the end of 2011, demonstrating significant growth over the past eight years," said Michael Liebreich, CEO of Bloomberg New Energy Finance, Pew's research partner. "Solar installations drove most of the activity last year as the falling price of photovoltaic modules, now 75 percent lower than three years ago, more than compensated for weakening clean energy support mechanisms in a number of parts of the world."

     Key findings of the Asia and Ocean region include:

    
     - Clean energy investment in Australia increased 11 percent in 2011 to $4.9 billion with the vast majority of investments - 82 percent or $4 billion – directed toward the solar sector. Investment in the wind sector fell sharply to less than $800 million. Australia ranks 13th among G-20 nations for its one-year rate of growth, forth in terms of five-year growth rates and ninth for five-year growth rates in installed generating capacity. Australia now has more than 5 gigawatts of installed clean energy capacity.
     - China attracted $45.5 billion in clean energy investment, placing it second among all G-20 countries. Wind energy investments in China were more than three times that of the next closest G-20 nation at $29 billion. China installed 20 GW of wind capacity for the second year in a row and now has more than 64 GW of installed wind energy capacity. Investments in China's solar sector increased to $11.3 billion and 2.3 GW of capacity was installed in 2011, most of it utility-scale projects.
     - India's clean energy sector continued to flourish in 2011, with investment up 54 percent to $10.2 billion giving the country a sixth place ranking among all G-20 nations. India's "National Solar Mission," with a goal of 20 GW of solar power installed by 2020, helped drive the seven-fold jump in solar energy investments, to $4.2 billion. Wind received $4.6 billion and an additional 2.8 GW of capacity was installed over the course of the year.
     - Indonesia recorded 520 percent growth in attracting clean energy investments in 2011, the fastest rate among G-20 member nations. Overall, more than $1 billion was invested in clean energy assets in Indonesia in 2011. It ranks 14th overall.
     - Clean energy investment in Japan increased by 23 percent to $8.6 billion, perhaps foreshadowing future growth as the nation moves away from nuclear power. Japan ranks eighth in the G-20 for overall investment. Ninety-four percent of clean energy investment in Japan went to the solar sector, overwhelmingly for small distributed capacity.

     With underlying data compiled by Bloomberg New Energy Finance, Who's Winning the Clean Energy Race? 2011 Edition examines how nations are faring in the increasingly stiff competition for private investment among the world's leading economies. Investments in the G-20 countries accounted for more than 95 percent of the global total. Amounts are listed in U.S. dollars.

     Read the entire report, including country profiles and interactive graphics, at http://www.PewTrusts.org/CleanEnergy.

     The Pew Charitable Trusts is driven by the power of knowledge to solve today's most challenging problems. Pew applies a rigorous, analytical approach to improve public policy, inform the public and stimulate civic life. http://www.PewTrusts.org

     Bloomberg New Energy Finance is the world's leading provider of news, data and analysis on clean energy and carbon market finance and investment. http://www.BNEF.com

     Media Contact: Tracy Schario,
                   tschario@pewtrusts.org,
                   +1-202-540-6582

     SOURCE: The Pew Charitable Trusts

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