Bloomberg New Energy Finance (BNEF) expects USD $7.7 trillion to be invested in new electricity generation capacity by 2030, with 66% of that amount going towards renewable technologies.
The 2030 Market Outlook, BNEF’s long term view of the power sector to 2030, predicts out of the $5.1 trillion to be spent on renewables, Asia-Pacific will account for $2.5 trillion.
“The period to 2030 is going to see spectacular growth in solar in this region, with nearly 800 gigawatts of rooftop and utility-scale PV added,” says Milo Sjardin, BNEF’s head of Asia Pacific.
“This will be driven by economics, not subsidies, as our analysis suggests that solar will be fully competitive with other power sources by 2020.”
Of the 1,733GW of renewables added by that year in the Asia-Pacific region, 46% is expected to be solar PV and 29% wind. PV will be split almost equally between rooftop solar power systems and utility-scale capacity. To achieve this level, PV will require $63bn of investment annually and wind $39bn a year on average – 7% and 11% more than their 2013 investments respectively says BNEF.
“By 2030 we anticipate that 47% of installed power capacity and 33% of electricity generated will be from renewable sources.”
In addition to the Asia-Pacific’s renewables splurge, the Americas will invest $816 billion, Europe $967 billion and the Middle East and Africa will invest another $818 billion.
BNEF expects wind energy and solar power solar to increase their combined share of global generation to 16 percent in 2030 – a big jump from the 3 percent last year.
Published annually, the Market Outlook sources the expertise of over 65 technology and country-level experts from 11 Bloomberg New Energy Finance offices worldwide and takes nine months to complete.
More from the 2030 Market Outlook can be viewed here.
