Abstract: Although timing for full economical recovery is still uncertain, we remain positive on the renewable energy sector in the medium-to-long term as we believe that it is keeping its underlying drivers intact. These drivers are: global focus on renewable sources of energy, impact of global warming, less dependence of fuel and fuel prices, growing demand of energy and competitiveness in the generation industry overall.
Within renewable energy sector, wave power generation is a growth market which benefits from abundant resource, and has significant competitive advantages to other forms of renewable energy in that it is more consistent, more predictable, and visually unobtrusive. However, this technology lags behind in terms of deployment and economies of scale.
We believe marine power could reach a cost competitive level in 5 to 10 years in order to reach similar levels to offshore and onshore wind current cost of producing electricity. We believe this can be reached only with the help of equity and financing providers together with government support.
We believe that wave power boasts the required characteristics to achieve commercialization and become the growth segment within the renewable energy field.
