Clean energy investment surged in China, Africa, the US, Latin America and India in 2015, driving the world total to its highest ever figure, of US$329 billion, up 4% from 2014’s revised US$315.9 billion and beating the previous record, set in 2011 by 3%.
The latest figures from Bloomberg New Energy Finance show dollar investment globally growing in 2015 to nearly six times its 2004 total, and a new record of one third of a trillion dollars, despite four influences that might have been expected to restrain it. These were: further declines in the cost of solar photovoltaics, meaning that more capacity could be installed for the same price; the strength of the US currency, reducing the dollar value of non-dollar investment; the continued weakness of the European economy, formerly the powerhouse of renewable energy investment; and perhaps most significantly, the plunge in fossil fuel commodity prices.
Over the 18 months to the end of 2015, the price of Brent crude plunged 67% from US$112.36 – US$37.28/bbl, international steam coal delivered to the north west Europe hub dropped 35% from US$73.70 to US$47.60/t. Natural gas in the US fell 48% on the Henry Hub index from US$4.42 – US$2.31/million Btu.
