The energy crisis has brought many risks and challenges, but at the same time, many new opportunities have opened up that previously did not exist or were not on the investors’ radar. Directing investment capital towards renewable energy sources may be one of the main trends in the market. But the volatility, uncertainty and high inflation that characterizes the markets have increased investors’ interest in finding investment segments where inflation in the long or medium term will have a minimal impact on the investment portfolio.
In that direction, real estate and other infrastructure projects are always the first choices, but due to certain trends, other sectors are also required. It is for these reasons that interest in investments in energy storage has increased. In the energy transition, exactly energy storage is one of the key components for infrastructure development, and investing in an important segment in the energy sector of the future can not only be profitable but also protects investments from inflation.
Continued investment in energy infrastructure makes the energy storage sector even more attractive for investment. No less important is the fact that it is in this segment that large investments are made in the creation of new technology and its improvement.
The interest in investing in energy storage from renewable sources is also high because smaller investors can also invest in this sector. Although according to some analyses, the structure of investors will change in the future and will be dominated by large investors, for now, the sector offers an opportunity for smaller and medium-sized investors as well. Certain pension funds, as well as other portfolio investors, are showing interest.
Although the energy transition is an important topic in all political debates, the expectations for the speed of its realization were still unrealistic. Despite all the political speeches and support for the process, things are moving but not so fast. While even the big global fossil fuel giants have begun to invest in their own energy transition and push the green agenda, the numbers show otherwise.
The enormous profits that have been made over the last year have shown that the abandonment of fossil fuels will not be so easy and fast.
The war in Ukraine has increased the need for energy independence, which in most countries is only possible with the development of renewable energy capacities and adequate infrastructure. This currency is most widely accepted in the European Union, which is seriously investing in new capacities and infrastructure projects for energy storage.
The energy storage sector will still develop because it is a developing technology, so energy storage will continue to be attractive for investment in the next period. Last year, investments in this segment of renewable energy sources amounted to about 20 billion dollars.