Global accounting firm Ernst & Young ranks countries for investment in all forms of renewable energy and by individual types including wind, solar and biomass.

Ernst & Young''s 25-country index had five newcomers of whom Poland ranked the highest at 19. Brazil, Japan, New Zealand and Turkey, which have developed its own renewable energy industries, were the other newcomers.

In its quarterly ''renewable energy country attractiveness'' rankings, the said the two Asian countries are expected to share the top three spots along with the US on its overall ''all renewables index'' within the next five years.

In the first quarter of 2007, the United States retained the top place as individual states continue to adopt legislation favourable to alternative fuel sources - wind and solar power.

China maintained its sixth rank on the ''all renewables index'', even as it moved up to fifth spot from eighth on the ''wind index''.

Jonathan Johns, head, renewable energy at Ernst & Young, said in a statement, "Despite recent predictions by the International Energy Agency (IEA) that China may overtake the US as the world''s biggest source of greenhouse gases within months, the Chinese government is showing a commitment to renewable energy sources. (China''s) investment in renewable energy is increasing at an impressive rate, with the annual installation of wind turbines more than doubling in the last 18 months."

China is expected to cross its target of 5-gigawatt installed capacity from wind generation in 2010 after crossing 2.6 GW at the end of 2006, experts from the Global Wind Energy Council (GWEC) said yesterday.

In the overall Ernst & Young index, India was at second rank again this quarter, with tax exemptions and government legislation on compulsory renewable obligations stimulating growth in the sector, the report said.

Among the five EU nations, the UK''s ranking dropped from fourth place to fifth on the overall index. Italy, the Netherlands, Finland and Austria also fell in the quarter.

"Although the UK has an abundance of natural (renewable) resources, it has not been as successful as it could have been in harvesting this energy," Johns was quoted in the statement.

The real issue was whether the UK would attempt to meet this EU target, which the EU had adopted in March to reduce carbon emissions by a fifth by 2020, and offered to go to 30 per cent if other major nations followed suit.

"The heat and fuel sectors may struggle to reach these targets... one could argue that renewable energy requirements for electricity generation will need to rise well above the 20 percent to conpensate."