Renewables Deals 2010

Annual Review

This report examines the rationale behind the overall trends and the key individual deals in the renewable energy sector. This year we have expanded our analysis to cover the increasingly important field of energy efficiency as well as looking separately at important initial public offering (IPO) activity. We also highlight, in a series of deal dialogues throughout the report, some of the critical issues for companies engaging in deal activity within the sector, drawing on our global experience as an adviser to players in major deals in renewable energy markets.

The renewables sector is proving a busy market for M&A. Deal-making is running at very high levels, albeit for smaller values. Apart from hydro, which has long been cost-competitive in the marketplace, the pattern of investment and deals in renewables continues to be strongly influenced by regulatory incentives. There is an element of taking stock as some governments review the best way to balance the triple objectives of affordability, security of supply and cleaner energy in a context of tighter public finances.