Global renewable energy investment dropped 23% in the first half of 2016 after a record year in 2015, driven by falling solar panel costs and slower investment in China, Bloomberg New Energy Finance reported last week.
“It is now looking almost certain that the global investment total for this year will fail to match 2015’s runaway record,” said BNEF founder Michael Liebreich, with clean energy industries attracting US$116.4 billion in the first two quarters of the year.
While clean energy investment increased in Europe and Brazil, spending was off 46% in the Middle East and Africa, 34% in China, and 5% in the United States.
“Cheaper photovoltaic panels and lower financing costs have reduced capital spending needs of developers even as installations of the technology have hit a record,” Bloomberg News reports. “BNEF also said there’s been a shift toward more utility-scale projects and away from smaller-scale installations.”