Investment in renewables in Australasia has dropped by more than anywhere else in the world, amidst uncertainty over emission trading and the loss of value of renewable energy certificates.

Green deals fell by 59 percent year on year in Australasia, from 29 percent in 2008 to just 12 last year, according to PricewaterhouseCoopers’ 2009 Renewable Deals review, released today. During that time, the total value of mergers and acquisitions dropped 69 percent from $357 million to $111 million.

Green deals were few namely because of the global financial crisis. The only significant deals during the year were several mega-hydro transactions in the Asia-Pacific region and in South America. Wind power fell out of favour with investors, toppling from 42 percent to 19 percent.

PricewaterhouseCoopers partner Andrew Petersen told The Age that he expects an upswing in renewables deals this year. He is quoted as saying: “We now have clearer price certainty around regulatory framework with renewable energy certificates … The investment community is seeing confidence at the big end of the energy retailing sector, with AGL and Origin growing their portfolios.”