Is the United States struggling in sustainability after pulling out of the Paris Agreement and placing a tariff on solar technology? According to a study from Ernst and Young (EY), it’s actually still the second-most attractive country in the world for investing in renewable energy. This is due to rapidly lowering costs in manufacturing solar, wind, and battery products.
EY’s latest release of the Renewable Energy Country Attractiveness Index (RECAI) shows that only China remains ahead of the United States in the rankings. That’s up from third place last year and supplanting India from the second spot. The latter country has now fallen to fourth place due to undervalued solar auctions and developer-distribution disputes.
Levelized cost of renewable power has dropped by 18 percent worldwide according to Bloomberg New Energy Finance. This brings installation costs to $55 per megawatt-hour for onshore wind projects and $70 per megawatt-hour for solar photovoltaic panels. RECAI also notes their pairing to battery storage solutions, which are also coming down in costs.