Solar To Witness Strong Moving Forward: An Overview

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In the span of five years, the outlook for Bioenergy is expected to remain positive as this renewable energy might witness robust growth as per International Energy Agency or IEA. However, as far as the electricity sector is concerned, the outlook for solar is highly optimistic. The agency came out with the report which stated that by 2023, the renewable energy is expected to grow by 27% and bioenergy would be the leader as it is used in heat as well as transport sectors.

Among the total renewables, bioenergy’s part is being impacted because of the strong growth momentum in the solar as it witnessed the growth of 97 GW (Gigawatts) in the previous year. Moreover, its outlook is also highly optimistic as it is anticipated to grow by approximately 600 gigawatts by 2023. This would mean that solar would be witnessing robust growth moving forward which would be higher than combined alternative renewables. Bioenergy currently has strong potential which is yet to be utilized for the transport as well as industrial sector. However, according to IEA, strong regulations would be needed to manage the usage as well as supply. The top management of IEA stated that approximately half of the world’s total renewables consumption is being occupied by the bioenergy while the remaining part comprises wind, hydro, solar as well as other renewable power technologies. The renewables would be witnessing a strong momentum moving forward and would account for 40% of the total growth in the consumption of the global energy. The fate of the electricity sector has been tied up with the renewables and thus, their usage is expected to be higher.

Within the span of the next five years, Australia might experience strong growth (i.e. over 90%) in regard to the consumption of the renewable energy which would be significantly helped by the solar PV. During the same period, the onshore wind would be second-most primary contributor as it would be making up 5.1 GW of the country’s anticipated 19.7 GW growth in respect to the renewables. The International Energy Agency expects that Australia might witness a collapse in regard to the new utility-scale post-2020 as there would be no replacement or extension in regard to the renewable energy target.

However, state-based incentives, national rebate as well as elevated electricity prices are expected to act as the tailwinds for the future growth for the rooftop solar. The agency anticipates that home rooftop solar would be improved by 800 MW per year in Australia. According to IEA, the capacity of commercial PV would be experiencing growth when businesses plan reduction to the power bills. 

At the time of writing, Genex Power Limited (ASX: GNX) is being traded at A$0.295 which implies a strong increase of 1.724% (intraday). The company has a market capitalization of $88.14 million. The company is primarily into the business of storage as well as generation of the renewable energy. Over the past 6 months, the stock has delivered the negative return of 4.92%. However, Carnegie clean energy limited (ASX: CCE) has witnessed the negative impact and is down at the time of writing. The stock tumbled 9.091% and is presently trading at A$0.010. Its market capitalization on the same day stood at $31.7 million. The stock is presently trading in its lower range.

On October 8, 2018, Infigen Energy (ASX: IFN) has witnessed no change. At the time of writing, the stock is trading at A$0.580 which implies that there has been no intra-day change. The company is being trading in the lower range and has the market capitalization of $554.81 million.

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