China has overtaken the U.S. as the most attractive country to invest in renewable energy projects, according to the latest report Renewable Energy Country Attractiveness Index, published by Ernst & Young.
Since December 2004, when China became part of this quarterly report, the country has been climbing up to the top ranking. In fact, the last rate published, June 2010, China virtually tied with the U.S..
Ben Warren, partner in charge of Energy and Environment of Ernst & Young, believes that “China’s progression to the first position has been supported by the unconditional support of his Government. This, combined with the strong commitment of the industry and the extent of their natural resources, means that its position as the top country to carry out investments in renewable energies is fair and deserved.”
As the United States, has lost two points in that index, after the federal Renewable Energy Fund does not enter into force last summer. Ernst & Young in this country expected a slowdown in the construction of new renewable energy facilities after the expiration in December 2010 grant program of the Treasury, there is no certainty that is renewed, creating uncertainty among investors on the continuity of effective incentive mechanisms.