During our 24th annual Power & Renewable Energy Conference, our analysts from the renewable energy team gave their insights into the sectors they cover.
In the rapidly growing battery sector, our senior analyst Kenneth Sivertsen held a presentation on the rising torrent of batteries. With record investments in renewable energy, electric transport and battery production, the battery market is stronger than ever. In the coming years and decades, we see transport and storage as the key demand factors.
- The battery sector has been positively influenced by the policy changes we have seen over the recent years, especially with ambitions to reach the net zero target. This has led to a significant amount of companies moving into the sector, as well as a massive amount of investment opportunities, Sivertsen says in his battery presentation.
The energy squeeze and high power, natural gas and carbon prices has taken a toll on the hydrogen markets. But with high prices for fossil energy, we think the growth for renewable sourced hydrogen will be accelerated. Our hydrogen analyst Gard Aarvik looked at the past few years in the hydrogen markets, carbon capture and storage and the four key valuation triggers we see for hydrogen shares in 2022.
- Hydrogen will play an integral role in global decarbonization. Although we still are in early phases of clean hydrogen adoption, the time to develop, secure the best location and to invest in R&D and technology, is now, says Aarvik in his presentation’s final remarks.
The offshore wind capacity is expected to grow ca. 20 percent yearly the next decade. Higher interest rates and material costs is giving headwinds for the sector, but we do not think it will spoil the party. Our senior offshore wind analyst Bård Rosef presents the technology developments in the sector, the offshore wind economics and how bottlenecks threaten the industry.
- Demand projections have been revised up, and we expect this trend to continue. Developers have reaped most of the benefits so far. Going forwards we expect this to change with the entry of oil majors making life harder for incumbents. Meanwhile we see improvement for the supply chain, with turbine manufacturers particularly well positioned, says Rosef in his summary.