South Korea Ranks 13th Globally in Renewable Energy Investment Attractiveness... "Impact of Green New Deal"

EY Announces 'Renewable Energy Country Attractiveness Index (RECAI)'

[Asia Economy Reporter Minji Lee] South Korea ranked 13th in the global renewable energy investment attractiveness index, boosted by the government-led Green New Deal policy.

According to the global accounting and consulting firm EY Hanyoung on the 4th, South Korea ranked 13th among 40 major countries in EY's 'Renewable Energy Country Attractiveness Index (RECAI)' 2020 second half report. EY has been publishing the RECAI report twice a year (first and second half) since 2003. RECAI evaluates opportunities for expanding renewable energy projects and investment conditions by country.

South Korea entered the top 20 for the first time by rising from 20th in the second half of last year to 17th in the first half of this year. In the second half survey, it climbed four places to 13th, moving one step closer to entering the top 10. In the second half of 2018, South Korea was only ranked 31st.

South Korea received a total attractiveness score of 56.9 points. This was 13.3 points lower than the first-place United States (70.2) and 9.5 points higher than Austria (47.4), which ranked 40th. Following the United States in first place, China ranked second, and Australia third. South Korea ranked lower than Denmark (12th) but ahead of Ireland (14th).

In the report, EY explained, "Due to the South Korean government's announcement of the Green New Deal, investors will find South Korea's offshore wind sector particularly attractive." However, at this point, South Korea's solar power generation received the highest score among renewable energy types.

On this day, EY predicted that the utilization of new technologies such as hydrogen and artificial intelligence (AI) will play a significant role in achieving carbon neutrality in the future. Kim Beom-jung, EY Hanyoung Energy Sector Leader, emphasized, "The technology to convert surplus electricity, which will increase due to the rise in domestic and international renewable energy production, into hydrogen will be a 'game changer' in the future," adding, "In other words, the ability to create chemical batteries that maximize storage capacity can change the landscape of the eco-friendly movement spreading due to COVID-19."

EY pointed out securing a stable supply chain as both an obstacle and a challenge to activating renewable energy. IoT (Internet of Things), sensors, big data, and AI technologies were identified as useful technologies for stable central supply chain management. This is because they enable precise electricity demand forecasting and contribute to supply chain stabilization.