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Majority of energy transition leaders say Europe is most attractive market for renewables investment

More than six in ten (61 percent) energy transition business leaders say Europe is the most attractive global market for renewables investment currently, according to figures gathered for Tamarindo’s annual Financing Energy Transition conference in London.
Wind turbines and solar panels
Courtesy of NREL.

Just 3 percent named North America as their favoured investment market, with 25 percent opting for Asia and 10 percent elsewhere.

Almost half (49 percent) of the 235-strong group say they have redirected energy transition investment from North America to Europe in the wake of President Trump’s policy decisions, with a further 22 percent considering doing so.  Nonetheless, more than half (57 percent) agreed that Trump’s hostility to US renewables has also been bad overall for the European renewables sector.

With Europe’s 2030 renewable energy targets looming large, three in four (75 percent) still feel the targets are aiding Europe’s energy transition.

However, optimism in the sector’s investment outlook is tempered by an intensifying set of policy, business, and political obstacles.

More than half (58 percent) say that rising populism in Europe is on a path to becoming a material threat to Europe’s energy transition, with a further 24 percent finding it a material threat already.

Lack of grid investment (65 percent) and slim profit margins (66 percent) were identified as the biggest policy and business obstacles respectively.

“After a roller coaster year for those investing in the energy transition globally, it was a pleasure to once again gather business leaders to share their reflections and think through the challenges that lie ahead” said Adam Barber, Chief Executive Officer, Tamarindo. “It’s clear that the sector remains cautiously optimistic, particularly when it comes to investment opportunities and project delivery in Europe.  Equally, there remain some familiar shared obstacles to navigate and some unfamiliar political trends to adapt to.  Tamarindo is committed to helping the sector to talk and think through these changes and gather momentum behind the energy transition.”

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