With the cost of large-scale renewable energy production using technologies such as wind and solar decreasing rapidly, these electricity sources are expected to reach grid parity with the costs of conventional sources of electricity in some markets within the next five to ten years.
Countries such as Germany, Spain and Italy have already introduced extensive policies to support large-scale investment in renewable energy to address climate and energy security issues, and other markets, like the USA, are expected to increase emphasis on similar policies to ensure continued investment in alternative energy production.
In emerging markets such as Qatar, Saudi Arabia and India, where government forecasts indicate demand for electricity will increase four fold in the next twenty years, coupled with their worsening carbon emissions, have or are highly likely to introduce similar policies.
Accordingly, those with necessary industry expertise and strong local government and regional relationships have a unique opportunity to develop a diversified portfolio of large-scale renewable energy assets to deliver highly attractive investment opportunities with low risk returns.
