Reasons to be optimistic about the New Energy sector

Robin Batchelor of the BlackRock New Energy investment trust reveals how two traumatic events of 2011 will drive the sector's performance

The spectre of the financial crisis still lingers over the New Energy sector but there is cause for optimism. Power demand, which suffered such a collapse in 2008, is recovering and, in spite of the move to austerity, government mandated growth is largely still in place. New Energy companies’ reliance on subsidies is also rapidly decreasing. As stark an environment as a recession can provide one of its benefits is that it often accelerates cost reduction and efficiency enhancements. The New Energy sector has borne witness to that theory: the wholesale price for a solar panel is down by ...