New Wind Farm financing to face delays in 2020

Daily News
| The European | 7 April 2020

In Europe, investment in new wind power projects fell almost 25% to 19 billion euros ($20.7 billion) in 2019 compared to a year earlier and projects are likely to face financing delays this year, industry group WindEurope said on Tuesday. 

When refinancing, acquisitions and other transactions related to existing wind farms was included, total investment in 2019 in Europe was 52 billion euros, 5 billion euros less than in 2018, the group said in its annual report. 

“Wind energy projects make an attractive investment and in the long-term there should be plenty of capital available to finance them,” the report said 

“In the short-term, the global economic situation resulting from the COVID-19 pandemic is uncertain and delays to the financing of new farms are inevitable,” it said. 

It said reduced debt market liquidity would make lenders less likely to offer funds, although under normal conditions current low interest rates would make it a good time for long-term borrowing and investment. 

Non-recourse debt provides 58% of all capital raised for new wind energy projects. 

A three-month delay in wind farm construction and project financing could mean new investment in the industry in 2020 would be around the same level as 2019, the report said. 

Growth beyond that would depend on whether the market fully recovered in 2020, it said. 

 

Reported Nina Chestney 

Sourced Reuters 

For more Technology and Daily news follow The European Magazine 

Sign Up

For the latest news

Download the App free today

Follow
your favourite
business magazine
while on the go.
Available on

Hard Copy and Digital

Magazine
Subscription

Get your
favourite magazine
delivered directly
to you

£49.95 4 issues

ISF

Report

Read
Information Security Forum’s
special report
exclusively here

Read report

Other Daily News Articles You May Like

Website Design Canterbury

Magazine

Hard Copy and Digital Subscription

Please complete the payment process in order to receive all 4 issues of The European Magazine digital edition or receive the hard copy directly to your door
As soon as payment is processed, the current digital edition will be emailed to you or dispatch to your postal address.

Annual Quarterly Subscription (4 Issues) Shipping Options