European Renewable Energy Stocks Rally After Paris Climate Conference
COP21 Agreement Boosts Wind and Solar
If you have not been investing in renewable energy up until now, this may be the time to start.
The COP21 clean energy conference in Paris happened earlier this month, and ended with a slew of proposals from all over the world suggesting ways to stop the progress of climate change.
This rallied a new wave of support for all kinds of renewable energy companies.
One Norwegian company which supplies raw materials for solar panels, REC Silicon, rose 10% after the conference.
Danish, German, and Spanish wind turbine companies Vestas Wind, Nordex, and Gamesa each rose between 2% and 5%.
U.S. companies didn't move because the U.S. Clean Power Plan, while it did make an appearance on the COP21 roster, is still facing legislative problems at home.
There is still a question of whether or not a federally mandated emissions reduction goal is legal, or even necessary.
But overall, it likely doesn’t matter.
You see, the entire world is on track to start reducing emissions. The world’s biggest emitters, China, the U.S., and India, all have plans to invest more into renewable energy technologies.
Almost 200 countries participated in the COP21 discussions, setting initial emissions reduction goals for 2020, only 5 years from now.
It should be noted that this agreement is not legally binding to anyone, and has final goals that are 85 years in the future, meaning the current signers won't be there to see them.
But still, clean energy is a laudable and popular goal. The countries like India and China which produce the most pollution want clean air just like the rest of us.
One Barclays analyst noted, “we think the Paris agreement represents a strong outcome and will therefore help boost the long-term fundamentals of the capital-goods and low-carbon power-generation sectors…”
It’s clear that the COP21 Paris conference will have an impact on the renewable sector. And whether or not you think that’s enough to start investing in clean energy technologies, you cannot deny that they are on the rise.
To get a few more details on the discussion, simply click here to read the Reuters article.
Until next time,
A true insider in the energy markets, Keith is one of few financial reporters to have visited the Alberta oil sands. His research has helped thousands of investors capitalize from the rapidly changing face of energy. Keith connects with hundreds of thousands of readers as the Managing Editor of Energy & Capital as well as Investment Director of Angel Publishing's Energy Investor. For years, Keith has been providing in-depth coverage of the Bakken, the Haynesville Shale, and the Marcellus natural gas formations — all ahead of the mainstream media. For more on Keith, go to his editor's page.
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