Renewable energy industry to grow based on cost aloneJune 30, 2015
Report shows that the clean energy business will experience healthy growth even without supportive policies
A new report from the Advanced Energy Economy Institute suggests that the renewable energy industry will continue to grow through the coming years on the basis of cost alone. The report notes that supportive policies have had a beneficial impact on the industry, but the industry would continue to grow even in the absence of these policies. This is due to the rapidly dropping cost of various forms of renewable energy. As these costs continue to decline, adoption is accelerating.
The cost of renewable energy is falling quickly
Over the past few years, clean technology has grown more affordable. In the case of wind energy, turbines are still quite expensive, but their cost has dramatically fallen in recent years due to the implementation of new technology and more efficient manufacturing practices. This is also true for solar energy. Photovoltaic technology is becoming more affordable, which has lead to an increase in adoption, particularly within the residential sector. Part of this has to do with aggressive manufacture and deployment of solar panels.
EPA plan calls for adoption of clean energy
As the cost of renewable energy falls, it will become easier for organizations to comply with the Clean Power Plan launched by the Environmental Protection Agency. The plan calls for a reduction in carbon emissions and aims to take advantage of the economic opportunities that renewable energy represents. While this plan aims to support the renewable energy industry, it would not be needed for this industry to continue growing.
Energy efficiency industry is also growing
The report from the Advanced Energy Economy Institute also notes that the energy efficiency industry will experience aggressive growth based on cost alone. Energy efficiency practices are becoming more common among businesses, and this has lead to an increase in the adoption of new technology and construction methods that reduce the consumption of electrical power overall. In the coming years, energy efficiency is expected to become a more important priority for organizations throughout the United States.