Key View

• The North America and Western Europe (NAWE) region’s average score on our Power Risk/Reward Index (RRI) has improved this quarter, with almost all markets offering low-risk investment opportunities in the power sector.
• Rewards in the region are being boosted by the mounting decarbonisation efforts which are leading to a growing need for investment into lower carbon alternatives such as hydropower and non-hydropower renewables, nuclear and gas-fired power.
• Finland has climbed ahead of the UK to take first place in the region with the market offering an extremely low-risk environment for investment.

Main Regional Features And Latest Updates

• This quarter the NAWE region’s overall score has improved against last quarter, with the average rising from 63.7 to 65.4. The region continues to offer a low-risk environment and increasing opportunities for all forms of low-carbon power investment.
• A total of eight of the 16 markets in the region fall into the highest category of low risks and high rewards and also rank within the top 20 markets globally.
• Across the region, significant improvements have been seen to market demographics with Country Risks and Industry Risks easing.
• Finland has climbed to first place in this quarterly outlook, rising three places ahead of second place UK. This is attributed to the large-scale reduction in labor market risks and improvements to the short- and long-term economic outlook. Furthermore, the market continues to invest heavily in non-hydropower renewables, nuclear and transmission and distribution infrastructure.
• Our largest mover in the regional rankings this quarter is Germany which climbed from tenth to sixth regionally and from 19th to 11th globally. The market’s scores are boosted by the vast need for power sector investment amid accelerated coal and nuclear phaseouts that are exacerbated by rising consumption.