Due mainly to policy uncertainty, global renewable energy spending fell 12.4% in 2012 to $244.4 billion, according to a report compiled by the Frankfurt School, UN Environment Programme and Bloomberg New Energy Finance. Developed countries’ spending fell 29% to $132 billion, but developing countries’ spending rose 19% to a record $112 billion. China’s spending grew by 21.8% to make up 27% of the global total. Spending by the Middle East and Africa soared 228.6% to $11.5 billion. Spending by the US, Europe, India and Brazil fell 34.3%, 28.9%, 50.0% and 37.2% to $36.0 billion, $79.9 billion, $6.5 billion and $5.4 billion, respectively. By sector, solar spending fell 11.2% to make up 57% of global spending. Solar photovoltaics installations grew 5.9% to 30.5 GW. Solar R&D spending grew 1% to $4.9 billion. Biofuels spending fell 39.8% to $5.0 billion, but R&D spending grew 2% to $1.7 billion. Asset financing, venture capital and private equity spending, and funding from public markets fell 17.5%, 30.0% and 61.3% to $148.5 billion, $3.7 billion and $4.1 billion, respectively. Global renewable energy R&D spending grew 1.1% to $9.6 billion. Government R&D spending grew 2.1% to $4.8 billion. Corporate R&D fell 1.0% to $4.8 billion.

Source: Frankfurt School of Finance and Management