transferring financial solutions from renewable energy on land
According to UNEP's 9th "Global Trends in Renewable Energy Investment 2015", prepared by the Frankfurt School-UNEP Collaborating Centre for Climate & Sustainable Energy Finance and Bloomberg New Energy Finance, the United Nations Environment Programme (UNEP) and Bloomberg New Energy Finance:
the past year brought a rebound of green energy investments worldwide with a surge of a solid 17% to $270 Billion. Brushing aside the challenge of sharply lower crude oil prices this was mainly driven by investments in solar and wind energy.
transformational Business Models
Distributed renewable energy systems using 'free' power are rapidly changing business models. Technology owners, rather than commodity owners, are the 21st century energy tycoons and sophisticated financing arrangements to stimulate the technology uptake have been developed.
Adapting these solutions for the maritime sector the SGSA is pioneering cleantech leasing solutions where the fuel/operational cost benefits are considered in conjunction with the additional capital cost required to harness 'free' fuel. Business models such as Energy Service Companies (ESCOs) are adapted for the maritime sector.
Finance is reassured by investments in renewable energy because of the improved certainty on overall fuel costs, and long term viability of the ship, and reduction of risk of financing stranded assets - fossil fuel powered ships will be, perhaps prohibitively, expensive to run in a low carbon world.
Combining technology, performance analysis and finance is the system solution that triggers a revolution in maritime renewables.