Thanks to fossil fuel crisis, wind and solar payback time drops to one year
Capital investment in renewables worldwide is set to outstrip oil and gas spending on new projects by almost $US50 billion this year, with soaring electricity prices reducing the payback period for solar and wind installations to less than a year, new research shows.
A Report from Rystad Energy says investment in renewables is forecast to reach US$494 billion in 2022 versus $US446 billion for oil and gas – the first time investment in renewables is set to be higher than for oil and gas.
The Rystad analysts say high spot electricity prices, particularly in Europe, are rewriting the utility wind and solar investment narrative as potential investment payback periods of under a year put extra shine on renewables energy economics.
