Solar Tribune

Cleantech investment slips in Q2 2012


According to a July 10 report from the Cleantech Group, global investment in cleantech fell by 14 percent from Q1 to Q2 2012.

Global investment was down to $1.6 billion, from $1.9 billion the previous quarter, and $2.1 billion in Q2 2011. That’s a 25 percent drop in one year in investment for green technologies like solar, wind and electric cars.

Photo Credit: CalFinder

The report finds the main culprits to be the continued global economic downturn and increasing political opposition to government support of cleantech.

Cleantech CEO Sheeraz Haji noted that IPOs in the U.S. did not look promising: all initial public offerings in Q2 2012 came from China, while a few American companies – including BrightSource – had cancelled their IPOs. “It’s safe to say the U.S. IPO market is effectively shut,” said Haji.

There are still some companies that have promise, Haji noted, such as a few firms specialising in solar financing and installation. “I think that the world of SolarCity, SunRun, Clean Power Finance, is in a great place,” he said.

Nevertheless, the outlook remains grim for solar manufacturers, who continue to face strong competition from Chinese firms.

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