Renewable Energy Update: Investment and Capacity Rise, Costs Fall - The Minute
Investments in renewable energy have reached record levels and added capacity has set new highs, while costs have fallen. Last year, $286 billion was invested in renewable sources. That’s three percent higher than the previous record in 2011, according to the International Renewable Energy Agency.
One big reason for the shift is the G20s’ strong commitment to non-fossil fuels. Last year, the G20 ministers issued a memo containing a guide to practical action to advance the deployment of clean energy. IRENA and the International Energy Agency—IEA— have created a joint database that now contains more than 700 policies on renewable energy for G20 countries.
Falling costs are also driving investment in renewables. The price of solar PV modules has dropped 80 percent since 2009, while the price of wind turbines has decreased by 30 to 40 percent. By 2040, it’s estimated that two-thirds of all energy projects will be in the renewable sector, representing over eleven trillion dollars in value. The market is speaking and investors are listening—and responding with their dollars.
I’m John Howell for 3BL Media.