Solar is becoming one of the world’s most cost-effective and fastest-growing energy sources.
Solar power installations have surpassed even the most optimistic estimates in the last decade, owing to the industry’s rapid growth. Gone are the days when it was considered a niche market.
And so, with such a buoyant market trend, investing in solar seems to make clear sense.
Yet, we’d like to explore further the benefits of investing in solar power. So here are five reasons why you should be investing in solar.
1. The Global Demand for Energy Is Growing
Solar energy is gaining traction as a primary source of global energy. According to the International Energy Agency (IEA), installed solar, except gas, is expected to surpass other energy sources by 2040.
Also, it’s wise to consider what industry leaders are saying about solar. For example, Elon Musk mentioned that building an extensive solar farm in the desert could power America. This concept originated from British physicist David J. C. MacKay.
2. It’s Good For the Environment
Whether you believe in global warming or not, we can all agree that releasing harsh gases into the atmosphere isn’t ideal.
We’re talking about burning fossil fuels like coal, which emit significant amounts of carbon dioxide and methane. These arguably contribute to climate change but indeed poor air quality.
With solar power, there is no by-product created that pollutes the earth in any way. It’s environmentally friendly and sustainable — unlike fossil fuels in the long run.
3. Job Creation and Economic Growth
Solar energy has the potential to support our economy. The more people start to invest in solar, the greater the demand they’ll be for companies to install solar technology.
So with all the investment flooding in and high demand for solar, it looks as though this rapidly emerging industry will create plenty of jobs. And with more skilled workers earning well, the economy should experience better growth too.
4. Solar Technology Is Improving
Solar power is now cheaper than almost all other renewable energy sources.
It has nearly reached something called grid parity in many countries. This means that the levelized cost of energy (LCOE) has become less than or equal to the price of power from a nation’s electricity grid.
Also, solar technology is becoming very impressive. The Titan solar generator is a great example of how solar tech is improving now.
5. Diversify Your Portfolio
Solar energy offers investors a way to add a new source of diversification to portfolios. This is because energy investments tend to have a low correlation to more traditional investment channels such as stocks and government bonds.
The future looks bright for solar energy investment. It’s seen as a growth market, with investment predicted to grow over the next 20 years to about $10 trillion.
Investing in Solar the Right Way
Know you should have a better idea of why investing in solar is a smart move. Plus, there are many other benefits that we could have mentioned!
Ultimately, the solar energy market is growing, and there are clear investment opportunities.
Thanks for stopping by, and feel free to check out more of our informative blog posts.