Tony Boyd reveals the findings from the EDHECinfra’s research paper “The pricing of green infrastructure”. He outlines that excess demand for green power assets led to returns of 16 per cent a year over the past decade. But the so-called green premium is over, according to infrastructure experts.
“Investors who achieved returns of 16 per cent a year from solar and wind investments over the past decade should not expect this to be repeated during the energy transition.
That is the conclusion of a research paper that analysed the returns achieved by a portfolio of solar and wind projects between 2011 and 2021 and compared them to a portfolio of coal and gas-fired power. The renewables were worth $US22 billion ($35 billion) and the brown assets were worth $US28 billion.”
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