Investors have largely shaken off worries caused by an uncertain political landscape and are accelerating renewable energy funding, but financing headwinds remain, company executives said this week at CERAWeek by S&P Global.
“It took two years for everyone to calm down, and now there is a huge rush of people coming through and getting deals done,” said Director of the Loan Programs Office for the U.S. Department of Energy Jigar Shah. “”We probably have $12 or $13 billion worth of SAF and biofuels projects… and we’ve got similar amounts in green chemicals.”
Short-term, high-yield debt was offered to companies wishing to operate in the renewables sector, leaving them with an unclear long-term future. Despite believing in the promise of renewable energy, investors were worried about how the long and short-term risk/reward ratio would pan out.
“It took about 12 years to get the private markets to be fully on board with…
