California's grid-scale renewables set to slow
Published on 17th May 2017
Osborne Clarke are proud sponsors of inspiratia’s riskWatch which assesses the risk of investing in renewables energy projects in the most active markets globally. Please see below an extract from inspiratia’s latest report on the Californian renewables market.
California’s extensive renewables policies and high economic productivity have enabled the energy sector to advance quickly. The state’s electricity companies are now meeting 24-35% of electricity demand with renewables, more than the state’s current commitments require. As a result, the renewables market is likely to slow down unless new legislation is passed. The uncertain times have caused Californias riskWatch score to fall to 75.5% in the short term whilst the state’s outlook remains strong at 76%
In recent years, California’s policy makers have persistently pushed utilities to add more renewable generation into their energy mix. Most of this transition has been instigated through the Renewables Portfolio Standard (RPS), which was introduced in 2002 and amended in 2006, 2008, 2011 and 2015. Utilities have responded effectively, quickly procuring the projects required to satisfy these targets. Indeed, utilities are ahead of the curve in terms of meeting the current RPS target of 50% of electricity from renewable energy resources by 2030.
So what are the policy and regulation, project drivers, macroeconomics and politics driving change in the US? Please contact one of Osborne Clarke’s experts below to request a full copy of the inspiratia report.
About inspiratia: inspiratia provides real-time data, forward-looking analysis, and timely market news relating to global infrastructure and renewables sectors.
