Economy, policies energizing Canada's wind sector

TORONTO (Reuters) – Canada’s wind power companies are getting a lift from rising oil prices, a healthier economy and energy-friendly government policies, even as tight capital markets continue to curb the recovery of the fledgling sector.

A C$654 million ($611 million) takeover bid by TransAlta Corp for Canadian Hydro Developers, the country’s biggest wind energy producer, has also boosted investor sentiment and signaled wind power is both viable and here to stay, analysts say.

Made up largely of early-stage juniors, many parched for cash or heavily indebted, Canada’s green energy group is gradually recovering from an investor exodus sparked by the financial crisis and the recession.

Reuters