In 2014 developing nations invested $126 billion in clean energy—outpacing the investments by the wealthiest nations. That’s according to a new report from Climatescope, an internationally supported index that looks at clean energy development in 55 developing nations.
The report found that 50.4 gigawatts of clean energy capacity was installed in developing nations in 2014, a growth of 21 percent over the previous year, outpacing the amount deployed in world’s richest nations. The overwhelming majority, 35 gigawatts, was installed in China. The report said that China’s installations alone outpaced the amount of clean energy installed in the U.S., the UK and France in 2014. The amount of investments deployed in the southern hemisphere grew significantly as well, rising from $53 billion in 2013 to $79 billion in 2014.
The report attributed much of the growth to the continuing drops in the price of clean energy. “Costs associated with solar photovoltaic power have ticked down 15 percent year-on-year globally,” the report stated. “Solar is particularly competitive in emerging markets which often suffer from very high power prices from fossil generation while also enjoying very sunny conditions.”
“On a percentage basis, clean energy capacity is growing twice as quickly in Climatescope nations compared to Organization for Economic Co-operation and Development (OECD) ones,” the report stated. That happened despite some of the Climatescope countries experiencing slips in economic growth. “Average gross domestic product growth across Climatescope nations slipped to 5.7 percent in 2014 from 6.4 percent in 2013 with the slow-down most apparent in major nations, Brazil, South Africa, and China. Despite the pullback, these three countries attracted a total of $103 billion in new clean energy investment in 2014.”
The report, which is supported by the U.S., the U.K., The Multilateral Investment Fund (MIF) of the Inter-American Development Bank Group (IDB) and others. It’s financed by Bloomberg New Energy Finance (BNEF).
The report comes ahead of the U.N.-organized climate negotiations that are being held in Paris at the end of November. The talks are expected to be some of the most significant discussions yet and many nations, among them the U.S. and China, already have committed to take action ahead of the discussions.Tweet