The COVID-19 had an assault on economies globally. As per the business standard report in July 2020, the estimation of losses equalled $ 3.8 trillion global consumption loss.
There was a loss of $ 2.1 trillion in salaries and wages, where around 147 million people lost their jobs. However, not everything was about misery and grim situations.
An unbelievable amount of USD 300 billion was spent on green and clean energy resources worldwide during the same period.
Despite the economic upsets, the investment surged by 9 per cent compared to 2019. It scripted a new found love in people for keeping the environment clean.
Moreover, energy stocks have received a needed push from it. As per the bludgeoning estimates, to reduce the impact of hydrocarbons, nations would need to induce $ 22.5 trillion by 2050 to battle climate change.
Thus, prospects of the solar, wind and other renewable energies are sound. The influx of funds will keep on happening, which will keep the stocks of the field afloat and kicking.
Plenty of growth opportunities
IEA (International Energy Agency) predicted that renewable energy would be sufficiently supplying around 12.4 per cent of the entire world’s demand by 2023. In 2018, it remained 10.3 per cent.
So, it’s an improvement of ⅕ , which is huge. All types of consumptions will happen in it.
All types of renewable energies will see a surge, and it will continue to grow over a decade and a half. The renewable energy seems to be in line with bio-energy, solar power, wind and hydropower.
The IEA believes that around seventy per cent of new power generating capacity would be available online.
Hence, power stocks are seeing hikes, and traders are readily spending in the market using brokers like ROinvesting.
Top renewable energy stocks
Tesla:- The company scripted history during the global pandemic crisis of 766.11B. It has been game-changer with the technology, and Elon Musk became the richest man on the planet due to that. The energy storage solutions, electric vehicles, and electrical energy generations have taken the world by storm.
In the third quarter of 2020, the company delivered 139,000vehicles. It eclipsed the record of 2019 (selling 112,000). There is zero-emission from the vehicles, claims Tesla.
Green Coat UK Wind
The Green Coat UK wind recently announced to raise pound 198 for channelising renewable energy. The company would reduce borrowings by using the funds.
It would be its revolving credit facility. The market cap of the company is pound 2.40 billion. In the immediate admission, the company would have 1.9 million shares. Overall, it will admit 151 million shares.
The wind farm investor is growing through acquiring different companies.
Enphase energy inc
The company has a market cap of 23.92 billion pounds. Interestingly, the company has infused investments into thirty-eight.
The company has invested in 38 operating UK wind farms with a net generating capacity of 1,173 MW. Greencoat Capital manages it, which is a leading renewable investment manager of Europe. It has assets worth more than pound 6 billion.
Solar edge technology:
Its optimised inverter revolutionised the way solar power was perceived. The game of solar energy is going on the top with it. The company is adding a plethora of products with each passing day.
Ørsted A/S
The market cap of Ørsted A/S is 433.13 billion. The company is the market leader in wind power and solar power. It is an offshore wind power company.
Solar power in the United Kingdom
Interestingly, the capacity of solar energy witnessed vehement growth in Britain. It was 5,488.6 MW in 2014 to 13,259 MW in 2019.
For 2018, the net generating solar capacity in the EU was estimated 171 GW. Germany held Germany held the top position (45.9 GW), followed by Italy in the second (20.1 GW) and the UK in the third (13.1 GW)
However, at the end of 2020, the solar capacity of the UK grew by 545 MW. On a year-on-year comparison, it grew by 27 per cent compared to 2019.
UK’s future for solar in 2023 looks bright. As per predictions, the solar capacity of the UK will increase to 15,674 MW, a jump of 2,711 MW. That would be a compound growth of 4 per cent in the area for the next few years.
As per reports, the wind turbines offered around a quarter of the total electricity in the UK, outpacing the fossil fuel consumptions in the EU. It was a maiden chance when renewable electricity outclassed the traditional source.
The previous year, against the 41 per cent produced by coal and gas, Britain produced 42 per cent electricity from sunlight, water, wind etc. That was monumental.
Conclusion
The demand for renewable energy and resources accentuated in the UK during COVID-19. The national grid had to face a drop in electricity requirement following strict restrictions and lockdowns, which led to shutting down shops, restaurants, businesses, and offices.
The LSE witnessed a sharp turn in traders investing in renewable energy stocks.
