Global New Energy To Hesitate, Then Bounce Back

Renewable energy market update; Outlook for 2020 and 2021

May 2020 (International Energy Agency)

“The Covid-19 crisis is hurting – but not halting – global growth in renewable power capacity. The number of new renewable power installations worldwide is set to fall this year…But, given supportive government policies, growth is expected to resume next year as most of the delayed projects come online…In 2020, the IEA forecasts net additions of renewable electricity capacity to decline by 13% compared with 2019. The decline reflects delays in construction activity due to supply chain disruption, lockdown measures and social distancing guidelines, and emerging financing challenges…[but see] a 6% increase in global installed renewable power capacity…In 2021, renewables are expected to show their resilience…

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…The forecast expects utility-scale PV and wind to rebound as the majority of projects in the pipeline are already financed and under construction…The impact of Covid-19 on renewable electricity technologies with long lead times, such as hydropower, offshore wind, CSP and geothermal, remains limited…The Covid-19 crisis has radically changed the global context for biofuels…Longer term implications for growth may arise from the suspension of new policy initiatives in some countries due to low oil prices…[G]overnments have the opportunity to reverse this trend by making investment in renewables a key part of stimulus packages designed to reinvigorate their economies…” click here for more

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