While geopolitical risk definitely remains…
A drilling team in Iceland…
The European Renewable Energy Council (EREC) has announced that the UK is one of a few countries that will not meet its 2020 renewable energy targets, with a ranking of 25th out of the 27 EU states for its contribution to renewable energy development.
The data collected by the Renewable Energy Association (REA) showed that the UK was the only member state that did not meet its 2011 target, and things just get worse for 2012, and ultimately 2020.
21 participants in the project already met their 2012 targets in 2011, but the EREC expects only Austria, Italy, and Sweden to actually achieve their 2020 targets. Serious doubts exist over the ability of Bulgaria, Germany, Greece, and Portugal to increase their renewable energy capacity, and Belgium, Poland, Spain, and the UK are expected to completely miss their targets.
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Rainer Hinrichs-Rahlwes, the president of the EREC, warned that “there are worrying signs on the horizon as current growth rates are insufficient to meet the 2020 targets. EU Member States should create and implement predictable and stable legislative frameworks for renewable energy sources.”
The Guardian claims, that as a result of the data, the REA has asked the British government to renew its commitment to achieving the 2020 target, proving that it is taking the project seriously, and “to end the mixed policy signals that have dominated the airwaves in recent times.”
Gaynor Hartnell, the chief executive officer of the REA, said that “while we appear to have narrowly missed the interim target, prospects for getting on track to meet 15% in 2020 seem remote.
The effect of a steep drop in lending decisions taken in recent years will manifest itself, there will inevitably be a hiatus with the closure of the Renewables Obligation and the government seems to have gone lukewarm on renewable heat. The earlier than anticipated publication of strike prices is welcome but more work needs to be done to build investor confidence.”
By. Joao Peixe of Oilprice.com
Joao is a writer for Oilprice.com