What is the growth rate in the clean energy?

The clean energy being one of the vulnerable topic and an important to have in today’s society is increasingly gathering attention across the world through various investment.

If we observe from 2008 to 2018, it is not a linear pattern but rise and fall is observed in the growth rate of the annual investment. The numbers help to forecast the growth rate till 2025 with three possibilities but it also clearly shows that even in the future scenario, the result in the growth rate is not a steady rise with the same kind of investment made every year.

Source:- Bloomberg, UNEP, FS-UNEP Collaborating Centre

In comparison to clean energy, renewable sector has also gathered attention for investment in the Middle East and Africa.

Source:- Bloomberg, UNEP, FS- UNEP Collaborating Centre

Even though the investment has not been a linear rise but each year some amount of investment has been made. It depends on how much earning has been earned through such investments, but the participation and the interest is no doubt a serious approach and the contributions are a serious effort shown by the Middle-East and the African countries. If the annual investment numbers are taken down from the above chart, then the forecasted growth is reciprocated in three possibilities.

Source:- Bloomberg, UNEP, FS-UNEP Collaborating Centre

In my opinion, the investment in each year also depends on how much long term benefits has been project for such sustainable solution and also how much earning has been earned through such investment in each year. In case of renewable energies, it is better to calculate the ROI in 5 years or 10 years time period, depending on the earning.

Source:- Statista (Clean technology investments globally)

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