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Top Green Energy Investment for 2022

Climate change is real. It is an indisputable fact that temperature levels across the globe are increasing at an alarming rate. Scientists have attributed the cause of this unprecedented phenomenon to the greenhouse gases that our global cities emit. In spite of this, humans still demand more energy to develop and progress as a civilization. Because of this dilemma, many countries are now looking for solutions to lessen their greenhouse gas emissions while still powering their settlements, industries, and businesses. Green energy investment is one way to solve this crisis.

What are green energy investments?

Green energy is an all-encompassing term for the technology and services that can provide power or energy from renewable sources. These renewable sources include solar, wind, hydroelectric, and biomass. They are renewable because, unlike fossil fuels, they are naturally replenished and do not diminish in quantity with every use.

The term green energy can also refer to other technologies that enable people to transition to renewable sources. These include improved energy storage systems which can ensure a reliable supply of renewable energy for all people. Another example is the use of electric vehicles that do not need any kind of fossil fuel.

From an investment perspective, green energy is an attractive industry that is not only profitable but is also a good opportunity to make the world a better place for the current and future generations. Green energy investments are, therefore, the companies that are working to reduce the high levels of greenhouse gases in the atmosphere. They are the companies that source their energy from renewable sources. 

Why invest in green energy?

The share of renewable energy sources in the power mix is only about a quarter of the electricity generated. Despite this, more and more nations are seeing the importance of green energy for the environment as well as for their economy. Renewable energy is becoming a very attractive investment opportunity because of the falling prices of solar photovoltaic systems, wind and water turbines, and other green energy technologies.

Moreover, green energy investments are being nurtured by government support. Governments of different nations are passing legislation and implementing orders that prefer green energy over fossil fuels. For instance, the U.S. funded green energy investments worth $1.2 trillion. 

Top green energy investments

Here are the top green energy investments to look for:

Solar

Solar energy comes from photovoltaic panels that absorb solar radiation and convert this to electrical energy. Solar energy companies either produce or install these panels in different locations. Solar energy can decentralize energy production and consumption because the panels can be placed in rural off-the-grid areas that do not have access to power.

Solar is one of the most common green energy sources in electrifying homes, specifically in poor and underserved regions. One example of a company that caters to these areas is Northern Lights Impact. The company plans to replace unsustainable oil-fuelled generators with solar panels. It prioritizes small-scale energy projects that have a huge impact on the community it serves. Investing in solar energy means giving people who live in these communities the right to comfortable housing and access to power-dependent communication, business, and education.

Wind

Wind energy uses wind turbines to generate power. Strong winds above move and rotate the blades of the turbine, which then spin a generator that converts mechanical energy into electrical energy. There are also types of wind energy: land-based and offshore wind energy. Land-based energy uses tall towers on top of hills or along the shoreline that hold the turbines. Offshore wind energy has turbines off the coastlines. Offshore wind turbines use the stronger winds produced in the ocean to produce more electricity.

Investments in wind energy would be very profitable because of its robust portfolio in the green energy market.

Hydroelectric

Hydroelectric sources are the most commonly used source of green energy all over the world. It is a renewable energy source because it uses the flow of water, either in rivers or stored in large infrastructure, to generate power. It uses turbines that rotate due to the flow of water. The rotating turbines power a generator that produces electrical energy.

One advantage of hydroelectric power is that it requires low costs for it to be operated and maintained. The water that it needs to generate the power is provided freely by nature. Investing in this type of green energy investment is a wise decision because of these advantages.

Battery technologies

Batteries and other energy storage technologies are being improved so they can facilitate and join the world toward a green energy transition. Unlike the other green energy technologies used for renewable energy sources, battery technologies are experiencing a fast advancement. Specifically, tech companies are looking into more efficient storage with fewer safety risks. Green energy investments that deserve to be watched are energy storage innovations that veer away from the traditional lithium-ion batteries. 

Green Energy Investment to Consider

With the many different types of green energy investment, the stocks that are certainly attractive in the industry can be from holding companies that acquire companies of various engagements in green energy. Powerstorm Holdings (PSTO) has acquired several privately held companies and has also invested in projects that make waves in the green energy sector. It prioritizes investments in solar, wind, and biomass energy projects. 

Conclusion

With fast technological advancement, widespread government support, and economic advantage, green energy investments are seeing their stars align. These are among the strongest reasons why investors should consider green energy as an attractive investment. In the years or decades ahead, green energy will have one of the top performing stocks and create the greatest value for your investment.

Participating in green energy investments is also a socially and morally responsible way of contributing to the lives of our future children. The changing climate does not just affect the current generation but also the other succeeding generations. Creating energy with zero greenhouse gas emissions is very possible when governments, the private sector, and the communities rally behind green energy. Join the green energy revolution by investing in it now!

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