The U.S. has soared past China to assume the leadership position in renewable energy investment, according to Ernst & Young's latest quarterly Renewable Energy Country Attractiveness Index.
Unsurprisingly, California dominated the index, but states like Colorado, Massachusetts and Texas also demonstrated a commitment to growing energy infrastructures across the nation.
For instance, New Mexico and Colorado came in second and third, respectively, in the ‘All Renewable Index’ because of consistent growth and strong potential across all renewable energy technologies. Massachusetts and Texas tied for fifth, with a strong draw for solar and wind investment, respectively.
The top five states for long-term wind power potential were California, Colorado, New Mexico, Illinois and Texas.
‘The State Attractiveness Indices data enables us to look at specific states and regions and understand what they are doing with renewable energy development and infrastructure on a microscopic level,’ notes Michael Bernier, senior manager, national tax at Ernst & Young. ‘It enables us to fine-tune the discussion about the overall U.S. market.
Despite uncertain macroeconomic conditions, renewable energy – particularly in states like Massachusetts, Colorado, Texas and California – is positioned very favorably to benefit from future investments, Ernst & Young also said in a separate, forward-looking report.
The continuance of renewable energy incentives, such as the production tax credit, would have a significant impact on what has become a thriving domestic manufacturing sector, the report adds.