OREANDA-NEWS. Fixed-price power purchase agreements and public incentives insulate renewables from pricing risk, according to a new Fitch Ratings report.

'In addition to pricing advantages, renewables enjoy increased demand spurred by tighter emission compliance standards,' said Christopher Joassin, Director. 'Carbon dioxide compliance costs will also improve renewables' competitiveness.'

Key factors affecting renewables include:

--U.S. wind energy projects, particularly on the West Coast, are challenged by extreme climatological conditions linked to El Nino weather patterns, resulting in both excessive and insufficient wind resources.

--Brazilian electricity prices have reverted to historical averages with improved hydrology, stabilizing cash outflows for energy purchases.

--Offshore wind installed capacity in the EU is expected to increase to approximately 11 gigawatts by the end of 2016 with the majority of projects commissioned in Germany and the U.K.

For more information, a special report titled 'Renewable Energy Projects - 2016 Briefing' is available on the Fitch Ratings web site at www.fitchratings.com.