CEO of wind energy giant says it would be better if US was in Paris Agreement

Source: By Amnar Frangoul, CNBC • Posted: Thursday, August 17, 2017

At the beginning of June, President Donald Trump announced the U.S would withdraw from the Paris Agreement and commence negotiations to re-enter or renegotiate a new accord.

Under the agreement, reached at the end of 2015, world leaders have committed to making sure global warming stays “well below” 2 degrees Celsius and to pursue efforts to limit the temperature rise to 1.5 degrees Celsius. Unsurprisingly, Trump’s decision drew criticism from many groups.

More than two months on from the decision Anders Runevad, CEO of global wind energy business Vestas, told CNBC that “it would be better, in my opinion, if (the) U.S. was staying in the Paris Agreement.”

Runevad added that the wind energy market was to some extent insulated from the decision of the U.S. to withdraw from the Paris Agreement.

“What drives the market and will drive the market up to – beyond – 2020, is the current PTC (production tax credit) structure in place in the U.S.,” he said. “That has… broad, bipartisan support, so that is what drives the market at least to (the) 2022 time frame, and we don’t expect any changes in that.”

Runevad was speaking after Vestas reported earnings for the second quarter of 2017. The business generated revenue of 2.2 billion euros ($2.57 billion), 14 percent down on the year-earlier, while earnings before interest and tax fell by 120 million euros to 279 million euros.