Renewable Energy Country Attractiveness Index
Our latest and 52nd edition of our Renewable Energy Country Attractiveness Index (RECAI) report ranks 40 countries on the attractiveness of their renewable energy investment and deployment opportunities. Issue 52 is also our first fully digital RECAI report.
Our index rankings give you access to the latest country movements at a glance.
The index was recalibrated in 2018, with all underlying datasets fully refreshed. See a full description of our methodology here.
Electric dreams: investing in the all-electric future
Within the next decade, the price of electric vehicles (EVs) will fall below that of their conventional equivalents, as their performance continues to improve. Sales, while currently small, will accelerate rapidly.
Car manufacturers are preparing, with many presenting plans, for an all-electric future. Governments are playing their part too, with a growing number pledging to ban sales of new internal combustion engine vehicles. Some, including the UK, are helping to fund the charging infrastructure upon which the EV revolution will depend. As we consider in this edition’s main article, the outlines of this new infrastructure are becoming clearer, as are the challenges it presents.
One of the major challenges to the power and utilities sector is the huge increase in power demand that electric mobility will create. If managed properly, this demand could help resolve the challenge of over-supply of renewable power, which is intermittent and sometimes generated when need is low. Price cannibalisation is taking place where renewable energy threatens its own economic viability. We also discuss how EVs could be part of the solution.
Further in the future, batteries in millions of EVs will be harnessed as an enormous pool of stored power, forming just one part of an ever more integrated and optimised value chain. How the power sector decides to respond to the EV opportunity now is set to define the industry over the decades to come.
Electric Vehicle Charging Infrastructure
The predicted rise in electric vehicles will bring challenges and opportunities for utilities and providers of charging infrastructure. Read more.
Merchant projects may not deliver their expected returns if too much generation depresses the wholesale power price. Read more.
Country focus: Colombia and Peru
As much of Latin America embraces renewable energy, Colombia and Peru provide a tale of two markets. Read more.
Country focus: Sub-Saharan Africa
Asian investors are increasingly backing sub-Saharan Africa’s grid-based renewables projects, however there are some off-grid investments. Read more.
Why there’s no (subsidy-) free lunch for offshore wind
Offshore wind is growing rapidly with some projects now being won without government subsidy. However, is subsidy-free offshore wind truly sustainable? EY's Andrew Perkins, Kinga Charpentier, Michael Bruhn and Ross McWhirter discuss the changing role of subsidies as offshore wind fast becomes a mainstream part of Europe's electricity system.Read more
EU renewables deal offers visibility to 2030
Bedeviled by boom and bust, the renewable energy industry got what it wanted from this summer’s political agreement on the EU’s 2030 renewable energy targets: not only a higher EU target than they expected but also visibility and transparency for investors.Read more
Key country developments
A summary of the latest country-specific, transaction and investment highlights.Read more
Hydrogen’s potential role in a decarbonised energy system
The targets of the Paris Agreement, signed in 2015 by 180 countries, will require a major transformation of the global energy system. Renewable-power generation is already leading the way in decarbonising the global power sector, but this will not be enough on its own. Deep-decarbonisation must also take place in harder-to-reach sectors like heating and transport – and progress here so far is much more limited.
The pace of technology advancement and cost reduction make renewable power a strong candidate to provide most of the carbon-free energy needed to drive wider decarbonisation.
Electrification of other sectors is the obvious way to link their energy needs to the carbon-free energy from renewable power-generating technologies, but, to understand this opportunity, it is important to take a system-wide view.
This is explored in a recent EY report, which examines hydrogen’s potential role in achieving the UK’s ambitious decarbonisation target of an 80% reduction by 2050 across power, heat and transport.
“Green” hydrogen, generated by electrolysis from renewable power, offers a potential solution to a number of key system challenges: storaging large volumes of intermittent renewable energy, a carbon-free gaseous fuel to enable decarbonisation of heat and transport sectors alongside other technologies, and an alternative way to mitigate the large investment needed for electrification.
Hydrogen’s potential role is equally applicable to other countries’ energy systems, as highlighted in IRENA’s recent report .
Contact the RECAI team
RECAI Chief Editor
Global Power & Utilities Corporate Finance Leader
UK&I Energy & Infrastructure Corporate Finance Leader
+44 20 (0)7981 6024
RECAI Chief Advisor
Assistant Director, Energy & Infrastructure Corporate Finance
+44 (0)13 9228 4499
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