Renewable Energy

Renewable Energy

Trends in Renewable Energy
The renewable energy demand is bound to boom when cost efficiency attains parity with other competing energy sources. The following trends are a few examples by which the renewables market is being aided to attain critical mass and compete against fossil fuels: Other than market forces, the renewable industry often needs government sponsorship to help generate enough momentum in the market. Many countries and states have implemented incentives — like government tax subsidies, partial co-payment schemes and various rebates over purchase of renewables — to encourage consumers to shift to renewable energy sources. [61]

Governments have been granting funds for research in renewable technology to make production cheaper and generation more efficient. [62]
Development of loan programs that stimulate renewable-favoring market forces with attractive return rates, buffer initial deployment costs and to entice consumers to consider and purchase renewable technology. A famous example is the solar loan program sponsored by UNEP helping 100,000 people finance solar power systems in India. [63]

Success in India’s solar program has led to similar projects in other parts of the developing world such as Tunisia, Morocco, Indonesia and Mexico.Oil and world petroleum crises and inflation are helping promote renewables.

Many think-tanks are warning that the world needs an urgency-driven concerted effort to create a competitive renewable energy infrastructure and market. The developed world can make more research investments to find better cost efficient technologies, and the manufacturing could be transferred to developing countries in order to use low labor costs. The renewable energy market could increase fast enough to replace and initiate the decline of fossil fuel dominance and the world could then avert the looming climate and peak oil crises. [65]

Most importantly, renewables is gaining credence among private investors as having the potential to grow into the next big industry. Many companies and venture capitalists are investing in photovoltaic development and manufacturing. This trend is particularly visible in Silicon valley, California, Europe, Japan. [66][67][68]