Industries in 2015

Growth in renewable energy consumption is set to significantly outpace the growth seen in fossil fuels this year, according to a report. However, it also warns that non-fossil fuels lack the policy needed to progress fast globally. The report – Industries in 2015 – is from the Economist Intelligence Unit (EIU) and notes that as governments around the world seek to limit global warming and emissions by implementing policies, renewables are likely to benefit. The report states, “Cheap, relatively clean-burning gas is increasingly a competitor in the US for coal, traditionally the most cost-effective option for power generation. Elsewhere, too, dirty coal is going out of fashion as governments enforce tighter environmental rules.” In particular the report notes that efforts by China, the world’s largest coal user, to clean up its energy sector will have an impact. China uses almost one-half of all the coal burnt each year but has committed to focusing on renewables and will hit its 100-gigawatt target for wind power generating capacity this year. The EIU predicts that energy consumption of non-hydro renewables, such as wind and solar, will grow by around 13% in 2015, with hydropower also seeing an increase of 3%. This compares to coal and petroleum products growth of less than 2% each.