The number of companies that are committed to reaching 100 percent renewable electricity (members of the RE100) surged from 87 in 2016 to 230 in 2019. The type of companies included has also been expanding. However, WoodMac analysts expect a drop in new market entrants and fewer signed contracts in 2020 due to COVID-19.
In particular, volatility in financial markets casts a shadow over the future of commercial and industrial renewables procurements. So far, contracts and project financing appear to be holding, but analysts expect the market to slow due to the pandemic and recession. And because commercial and industrial offtake agreements can be complicated, new market entrants will be less likely to explore renewables procurement under recession conditions.
An analysis
