Hot Topics: High Demand Draws Investment Community Interest in Renewable Energy

Darden Capital Management CEO Peter Wilson (MBA ’18) recently sat down with John McCann (MBA ’08), Barclays Managing Director in the global power and utilities group, to discuss Wall Street’s growing interest in the renewable energy space.

During an interview at the University of Virginia Darden School of Business, McCann said there is currently a “tremendous amount of demand” for renewables in the investment space, largely due to the sharp drop in the cost to produce renewable energy coupled with an increased demand from the public.

“It’s much easier for us today to go build and gather investment capital for these kinds of assets in scale,” McCann said.

The Barclays executive said current trends showed no signs of abating, and said his firm predicts between now and 2021 $130 billion of capital will be needed just to meet the already stated demand for renewable energy.

“Not only are states demanding that utilities provide renewable energy for their ratepayers and their constituents, but companies are really leading the charge from a dynamic and dialogue perspective and saying ‘we won’t do businesses in your state unless you have the ability to provide us with clean and green energy,'” said McCann

Read Professor Mike Lenox’s recent report on the path to decarbonization of the utility sector.