China holds top spot in EY Renewable energy attractiveness index

China has been ranked as the number one country in the world for renewable energy attractiveness by global accounting firm EY in its latest clean energy index.

The Asian powerhouse fought off competition from India and the US in the Renewable energy country attractiveness index (RECAI), to maintain the top spot it claimed in the most recent May report.

The index noted that solar PV capacity rose by 21GW over the past six months in China, while new targets to cancel 106GW of coal power and an imminent decision to ban internal combustion engine sales all contributed to the nation’s renewable energy attractiveness.

However, recent cancelled wind energy power purchase agreements have put second place India’s position on the index in doubt, with the country under pressure from the US, Germany, Australia and France.

In particular, France rose two places to sixth in the latest RECAI after new President Emmanuel Macron pledged strong political support towards the renewables industry.

Elsewhere, the 50th issue of RECAI saw considerable surges up the chart by Middle Eastern and North African nations such as Saudi Arabia and Algeria, owing to a rise in tender and financing activity.

Ben Warren, EY global power & utilities corporate finance leader and RECAI chief editor, said: “The index highlights that government policy is pivotal in driving renewable energy development globally.

“As it becomes increasingly clear that time is running out for legacy energy supply models, countries are vying for their place in a clean energy future.”