China remains atop EY’s Renewable energy country attractiveness index for the third time in a row, while at the same time the United States and Germany have overtaken India to secure second and third place respectively.

In South East Europe, Turkey (17th place), Greece (local 34) and Poland (nine in the index, 36th place) are in the index. Romania is not in this ranking.

The EY Renewable energy country attractiveness index (RECAI) is one of the more helpful tools provided by analysts, doing exactly what its name suggests, which is ranking the renewable energy attractiveness of countries around the world. This is the 51st edition of the RECAI, and EY Global Power & Utilities Corporate Finance Leader Ben Warren, who is also the RECAI Chief Editor, opens this edition by focusing on the increasing threat of protectionism to the renewable energy sector, according to cleantechnica.com.

Specifically, Warren raises the concern of a potential 70% tariff on imported solar panels in India, as well as the existing 30% solar import tax already in place in the United States. “Rising interest rates and the end of quantitative easing are set to raise the cost and reduce the flow of cheap capital that has underwritten the dramatic roll-out of renewable energy capacity over recent years,” Warren adds, and also points to the reduction or elimination of government subsidies.

“These factors are forcing a relentless focus on costs within the sector,” said Warren, introducing what is, therefore, something of a negative-toned RECAI.

However, as Warren explains further, maybe not all is doom and gloom:

“Rising interest rates are likely to increase the cost of cheap capital that has underwritten the dramatic roll-out of renewable energy capacity over recent years. Government subsidies for clean power are being reduced around the world and financiers are anticipating tougher times ahead for project developers. However, movements in the Index suggest that these developments are just headwinds as the renewable energy sector continues to mature and markets expand.”