With the highlighted renewable energy gap a growing concern given the recent findings that the UK is more than 60% away from it’s 2020 renewable energy target (only 4.1% of energy came from green energy by year end 2013) and also the governments current stance regarding the solar power panels, wind energy industries etc has left the sector a little unstable of late from a commercial viewpoint.
How Could Foreign Investment Help Improve The UK Renewable Sector
With collaboration within the renewable energy sector expected to grow in the coming years given the move towards binding green energy targets the news of impending investment into the sector from Israel is a welcome boost to the industry. While the government has been faced with criticism from renewable energy providers for their lack of clarity for long term aims for the industry it does appear he has acknowledged the significance of the task at hand to reach our 2020 objectives and also the significance weight the UK renewable industry carry globally.
£50M In Renewable Energy Foreign Investment
While the trade delegation that have comprised the £70M deal with Israel was focused on healthcare, I.T. and other areas of interest it was renewable energy that gained most investment with £50M from the overall £70M. The investment into the UK green sector will come from Israel’s Noy Infrastructure Investment fund.
What Will Israel’s Investment Represent
Most importantly the investment into the various sectors will create jobs as well as the development of these industries further including the renewable solutions market. This welcome boost will reiterate from the governments point of view that industries such as wind, thermal and solar pv power do remain an integral part of the long term goal to meet the 2020 and beyond EU renewable energy and carbon emission targets.
Could There Be More Foreign Investment Into UK Renewable Energy
Such future investments could potentially occur given the number of trade visits the PM has been on in the last 18 months to other nation such as China and India. While many such trips have focused around other areas such as education it is now hoped such a substantial investment will represent a strong signal to other outside investors that UK solar PV, wind, thermal, hydro and other renewable sectors are very much worth investing in.
What Is The Noy Infrastructure Fund
The fund is focused on sustainable energy and long term gains from various renewable energy projects and they currently manage over 100MW in solar panels projects while mainly in Israel they do have various projects with other nations thus the deal with UK will be of significant importance given the finance being invested. Initialized in 2011 the fund focuses on the infrastructure of various renewable technologies and so as such it is also particular active in the development side of the technology thus while the return on investment is essentially important they do also have vested interest in next generation solutions.
A Welcome Boost
With the news of Israel’s investment into UK solar power already being celebrated by the DECC and various other government factions it’s hoped that this case of foreign investment will not be the only such example in the coming years for the solar PV sector. The potential of a successful partnership between the two countries opens up a realm of other possibilities without outside investors looking to also capitalize on the UK’s knowledge and expertise within the wind, thermal and Solar power market.
Some previous related articles of interest:
The UK 2014 solar pv investment strategy and how it has worked
The rising investment in solar from entrepreneurs
How the carbon tax cut could effect the renewable industry