India is Third Most Attractive Country for Solar Investment

As per IHS Markit latest Global Renewables Markets Attractiveness Rankings for the period ending December 2020, the United States is the most attractive market for renewable energy investment due to its sound market fundamentals and attractive support scheme. The USA also retained the top spot in attractiveness for investment in solar and onshore wind each. The rankings assessed different countries’ attractiveness for investment in solar, onshore wind, and offshore wind. Each country was evaluated on parameters like current policy framework, market fundamentals, investor friendliness, infrastructure readiness, revenue risks, return expectations, and overall opportunity. The overall renewable rankings were based on a combined score for offshore wind, onshore wind, and solar that weighted the technologies based on their expected levels of installations over the next decade. Germany finished second on the renewable attractiveness ranking. Mainland China, which accounted for more than half of the world’s total non-hydro renewables additions last year, ranked third, weighed down by difficulties in accessing the market. However, it claimed the second spot in attractiveness for solar investment. India ranked sixth for renewables, third for utility-scale solar, ninth for onshore wind, and 15th for offshore wind. Strong market fundamentals backed by stable procurement mechanisms and long-term clean energy targets made France secure fourth spot, and Spain fifth, in renewables investment attractiveness. Similar factors boosted Japan’s renewables attractiveness to eighth place and the Netherlands to ninth. Countries with a strong impetus toward offshore wind got a significant boost, as IHS said the generation source is expected to be the fastest-growing renewable energy technology in the next decade. The United Kingdom failed to crack the top 10 in the combined rankings due to its relative lack of support for developing onshore wind. It ranked individually as the most attractive market for offshore wind investment.