Enough and a lot has been said about the need to replace the current energy systems with clean energy. The effects of non-renewable sources of energy are way too expensive to our environment and someone must step up and make sure that the trend changes. We are the future, and yes we can change things! Let me give you a little snap short of how much potential of clean energy we have.
“According to International Energy Agency (IEA) estimates, generation of electricity by renewables including large hydro made up just 19.5 percent of the world total in 2004. The IEA’s baseline figures see electricity generation by renewables, excluding hydro, expanding by 9.3 percent a year between 2004 and 2015. Current investment trends would seem to indicate that this projection underestimates sector growth.
The sharpest increases in investment flows into clean energy have come via venture capital and private equity, and through investment in public capital markets. NEF estimates are that venture capital and private equity investment in 2006 totalled USD 7.1 billion worldwide, an increase of 163 percent over 2005 levels. Investment via public markets increased almost as quickly, by 140 percent, to USD 10.3 billion, with the flow of initial public offerings of renewable energy companies particularly strong in the second quarter of 2006. Other categories of investment have also seen decent growth in 2006. Government and corporate research and development increased by 25 percent to USD 16.3 billion. The financing of clean energy infrastructure projects – termed asset financing – rose by 23 percent to USD 27.9 billion. Small scale projects increased from an estimated USD 7 billion in 2005 to USD 9.3 billion in 2006.
The ability of the markets to mobilise capital quickly behind new innovators is providing a counter-balance, or at least a forewarning, to the obstinacy of energy sector incumbents. For instance, the solar photovoltaic market has seen the emergence of a new breed of pure-play technology leaders such as REC in Norway and Q-Cells in Germany3. The fact that today’s market leaders mostly didn’t exist a few years ago and that a healthy pipeline of new Initial Public Offerings is getting ready to follow on their heels is indicative of the rapidly changing dynamics of the whole clean energy sector. In line with solar, the European biofuels market is also gaining momentum after the strong take-off in the US, however market and project complexity is a barrier to faster uptake. Investor attention to wave and tidal energy is also growing faster than expected. The investor landscape is becoming more crowded, but more professional.
One impact of competition is that investor interest is internationalising rapidly to places like China and India.” source:https://renewable energy.com
As the article highlights, we have adequate potential and a few barriers to beat before we go clean!