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Surge in Wind Power Investments Exceeds Projections

Despite recent concerns about the clean tech sector hitting an investment peak, wind power capacity increased 27 percent in 2007 to more than 94,100 megawatts globally. The European Union made the largest contribution in terms of capacity increase followed by the United States and China, according to a recent report from the Worldwatch Institute.

Wind power markets reached an estimated value of $36 billion in 2007 globally with a workforce that now adds up to nearly 200,000 people. These growth rates will almost certainly continue in the near-term future as the EU tried to meet ambitious 2020 targets for renewable energy.

Although natural gas made the largest contribution to new capacity in the United States, wind power was the primary source for new capacity in the EU. In China, the estimated 3,449 megawatts of wind turbines added in 2007 pushed China over the government’s ambitious wind power target for 2010.

The press release continues:

“The addition of a record-breaking 5,244 megawatts of wind capacity in the United States in 2007-enough to power 4.5 million U.S. homes-was driven by the federal production tax credit and by renewable energy mandates in 25 states and the District of Columbia. The nation’s wind capacity now totals 16,818 megawatts, second only to Germany. The production tax credit is set to expire at the end of this year.

“Germany remains the world leader in wind power capacity, with almost 24 percent of the global total (22,247 megawatts), but it experienced a lackluster year in 2007. Still, renewable energy resources now generate more than 14 percent of Germany’s electricity needs, with about half of this coming from wind. Spain led Europe in new installations in 2007, now ranking third worldwide in total wind capacity (15,145 megawatts). France, Italy, Portugal, and the United Kingdom all experienced significant growth last year as well. In all, EU wind power capacity rose 18 percent in 2007, and the region is home to 60 percent of global installed capacity.

“China was the biggest surprise in 2007. Barely in the wind business three years ago, China trailed only the United States and Spain in new wind installations in 2007, and ranked fifth in total installed capacity (6,050 megawatts). However, an estimated one-fourth of this capacity remains unconnected to the grid due to planning problems.”