New project financing in the energy industry remains robust.
That’s according to a new report from S&P Global Ratings, which suggests in the last two years, continental Europe has attracted strong renewable investment, including offshore and onshore wind portfolios and a range of transportation deals.
In the UK, the government has continued to encourage renewable energy projects with the creation of the Low Carbon Contracts Company, which aims to build confidence in electricity market reform and manage Contracts for Difference with low carbon generators throughout their lifetime.
Meanwhile solar, desalination, power generation and gas liquefaction plants have been the main form of activity across the Middle East.
There has also been an increase in the number of projects that issue long term debt before construction begins, seeming to indicate investors have become more comfortable with construction risk.
S&P expects finance constraints on the US market to be political and permitting, rather than due to a lack of potential investors.