Global Biz

Global clean energy investment reaches $243b in 2010

(Xinhua)
Updated: 2011-03-30 09:10

WASHINGTON - Global clean energy finance and investment grew significantly in 2010 to $243 billion, a 30 percent increase from the previous year. China, Germany, Italy and India were among the nations that most successfully attracted private investments, according to a report released Tuesday by The Pew Charitable Trusts.

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China continued to solidify its position as the world's clean energy powerhouse, the report says. Its record $54.4 billion in investments in 2010 represents a 39 percent increase from 2009. Germany was second in the G20, up from third last year, after experiencing a 100 percent increase in investment to 41.2 billion.

"The clean energy sector is emerging as one of the most dynamic and competitive in the world, witnessing 630 percent growth in finance and investments since 2004," said Phyllis Cuttino, director of Pew's Clean Energy Program. "Countries like China, Germany and India were attractive to financiers because they have national policies that support renewable energy standards, carbon reduction targets and/or incentives for investment and production and that create long-term certainty for investors."

The United States, which had maintained the top spot until 2008, fell another rung in 2010 to third with 34 billion. Britain experienced the largest decline among the G20, falling from fifth to 13th. The report suggests that uncertainty surrounding clean energy policies in these countries is causing investors to look elsewhere for opportunities.

Italy attracted 13.9 billion in clean energy financing last year, improving its global standing to fourth, from eighth in 2009. Italy is the first country to achieve grid parity, or cost- competitiveness, for solar energy. For the first time, India joined the top 10 ranking, attracting 4 billion, a 25-percent increase.

According to the report, wind power continued to be the favored technology for investors at 95 billion. However, the solar sector experienced significant growth in 2010, with investments growing 53 percent to a record 79 billion and more than 17 gigawatts of new generating capacity globally. Germany accounted for 45 percent of global solar investments.