Key Takeaways:
- Deloitte.com has released its 2019 Renewable Energy Industry Outlook
- Positive trends showing despite challenges down the road
- Three key trends are identified as part of the 2019 (and beyond) outlook
The renewable energy growth trend in the energy sector continues despite the hurdle of new import tariffs.
The costs of wind and solar generation continued to decline last year. There were advances in battery storage technology. Grid operators increased their capabilities to include intermittent renewable power into the grid.
The most important driver is the “growing appetite for renewables” by corporations, households and small businesses.
Three trends are expected to support continued expansion in 2019:
- Renewable policies
- Expanded investor interest
- Advancing technology
Renewable Energy Policies
Policies at the local, state and federal level are boosting engagement. Mandated renewable portfolios standards (RPS) and community choice programs require new business models and partnerships. In many areas, municipalities are taking the lead.
Investor Interest in Renewable Energy
Large corporations are purchasing clean power using a variety of options and even engaging in more onsite generation. Small companies are following suit often due to sustainability standards large corporations require of their supply chain partners.
Larger oil and gas industry players are beginning to diversify into renewables because of growing social support to combat climate change and continued cost reductions.
Advancing Technology in Renewable Energy
Smarter electric grids improve the efficiency, quality, and reliability of utility power and household power usage. The technology reduces costs, improving returns for investors and lowering costs for customers.
What We’re Reading: The “2019 Renewable Energy Industry Outlook” as written by Marlene Motyka and published on Deloitte.com.