UK was ranked among the top 5 most attractive countries for clean energy investment. A strong performance in offshore wind energy had raised UK to the 5th position in rank. However, the current energy crisis looming over the country has forced UK to turn to gas-fired power stations rather than renewables. It has become less alluring for renewable energy investors due to its renewed interest in gas.
UK has fallen to the 6th rank among 40 countries, according to a report published by Ernst & Young’s quarterly report.
The revised standard for emissions for power plants has raised fear that UK will head to gas as a bridge fuel while coal fired power stations are gradually being phased out. The cut in solar feed tariffs has also had an negative impact on the scenario, though UK’s main strength lies in wind power. Despite its fallen rank, UK’s plans to spend significant amount on transmission infrastructure for renewables shows some promising signs.
There is worry among the green sector that the UK government will be in favour of natural gas rather than renewables. A need to establish the right framework for promoting renewable energy in all sectors was expressed. The recent draft Energy Bill is an indicator for a positive step in the right direction. The number of acquisitions and mergers in the green sector in spite of dwindling support in Europe and US presents an optimistic picture. Companies consolidating is strong and is expected by analysts.
Energy intensive industries are now looking towards renewables to minimise their energy costs. The energy costs will rise more than 15% in the next five years and companies are eager to counter this. Some companies use company owned renewable resources for energy while others purchase electricity generated from renewable sources. Other methods employed are efficient energy building systems and environment friendly lighting.