The sector is not immune to the impact of
Covid-19
According
to forecasts by the international energy alliance (IEA), the number of new
renewable power installations globally will drop for the first time in the last
2 decades. Net profits of renewable electricity potential are supposed to
decline by around one-sixth compared with 2019 due to setbacks in the
construction project, lockdown rules and social-distancing difficulties, and emerging
financial hurdles. When you compare these figures to prognostications made
before the spread of corona virus, the IEA now anticipate consolidated growth
in 2020 and 2021 to be nearby 10% lower than their last estimates, declared in
October 2019.
Renewable
energy will play an increasingly important part of the global energy mix
It’s
not all sad news. Despite the influence on the sector the Oil and Gas Recruitment Companies have suggested that renewable energy is still supposed
to grow in 2020. A decline in the number of new renewable power installations
means that there won’t be as many new sources as last year - but it doesn’t
mean there won’t be any. The IEA predicts a 6% increase in global installed
renewable power capacity, which surpasses the combined size of power systems in
both North America and Europe. Also, a lot of the impact on the industry by
Covid-19 is a delay, not an end to projects. The effects are only negative in
the short term, while the long term will even itself out. The majority of
delayed projects are expected to come online in 2021, with the IEA forecasting
a return to the level of renewable energy capacity additions as in 2019.
Though
you could easily argue against the data - it only accounts for such a high
percentage because renewable come first and there is less power needed during
this time - it is nevertheless data that political leaders will cling to. As
businesses return and power usage ramps up once again, they will want to see
these percentages stay the same and so greater priority will be put on
increasing the renewable energy supply in line with demand.
Renewable
energy corporations will drive bigger and more genuine opportunities
Renewable
energy has long been a minority rival to the fossil fuels industry, but over the
last few years, it has immensely grown to show a real menace to traditional
energy sources.
The
maturity of the industry has given it the power to withstand economic
challenges, with projects large enough to be considered vital to many areas.
With all that in place already, the businesses providing that power are not
going to give up their market share easily.
We have
already seen the resilience of the industry throughout the pandemic in Spain.
With the country in lockdown, the final stages of the Núñez de Balboa 500
megawatt solar park seemed like it would inevitably be delayed - or worse. But
as the largest solar array in Europe, completion represented a necessity for
the area. Armed with PPE and revised safety adjustments to prevent the spread
of the virus through the project, workers went back to the foundation of the 4
square miles of solar panels. The park was connected to the grid on the 6th of
April and has since been supplying power to 250,000 people. Renewable energy is
no longer a minor addition to the energy sector. Millions depend on it and
businesses from technology start-ups to Oil & Gas super majors and Oil and Gas Recruitment Agencies have been investing heavily in it. With governments
and businesses forced to streamline their interests, it’s almost certain that
many of them will continue to focus on renewable power over other areas in the
future, resulting in a greater potential for growth in the coming years.
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