Is There a “Kyoto Effect?”

From Greenbiz.com, an analysis of the first-quarter performance of New Energy Finance’s Global Energy Innovation Index (GEIX), and a question as to whether “closer analysis shows a potentially significant ‘Kyoto Effect.” That is, will the implementation of the Kyoto Treaty lead to sustained profitability for renewable energy companies? The company’s CEO claims it’s too soon to tell, but that Kyoto has definitely spurred “energy technology startups,” particularly in Europe. I’ve been thinking lately that this has got to be a good time to invest in renewable energy — am I onto something, or just showing my naive understanding of the market?

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