Free Essay

Business Case for Renewable Energy

In: Business and Management

Submitted By maneshsingh
Words 2051
Pages 9

(Business plan)

(assignment to COURSE)


Table of Contents
1. Executive Summary 3
2. The Problem/Pain Points 3
3. The Solution 4 a. Technology Selection 5
4. Why Now: 6
5. Market Analysis 7
6. Competition 8
7. Product/ Solutions 9
8. The Business Model 10
9. Management & Team 11
10. Financial 12
11. The Harvesting Strategy 14

This plan has been prepared for M/S XYZ Energy Servicing Company which intends to provide renewable energy to telecom towers in area where gird power is not available or if available it’s available for lesser time or the quality of power not up to acceptable level hence forces tower company to run the site either on generator using diesel or battery till the time its available. Since its must to run the telecom site 24 X 7 to provide seamless mobile telephone services to consumers/customers/subscribers. This report has been prepared by Telecom & Satcom Consultants.

Executive Summary

M/S XYZ Energy Servicing Company Limited ( hereinafter referred as the Company) has been incorporated as private limited company under Indian Company Act 2013 having registered office ………….. The company is established to provide

• Green Energy Solutions to telecom tower as primary/back-up energy source especially using solar power. • The company would provide O&M and other related services to telecom sites • The company would also explore the opportunity of setting up micro-grid using the solar plant to serve the community energy needs in rural/remotely located area

The company objective is to build the sustainable business and become a lead player in the market in 5 years time. The company would focus in first 3 years in telecom circles in Northern India especially –Haryana, Punjab, UP West , Delhi and Rajasthan. Subsequently company may expand to other circles.

The Problem/Pain Points

24x7 telecom operations require uninterrupted power supply. Due to multiple pain points across power value chain load shedding is quite rampant forcing telecom tower companies to heavily rely on liquid fuel. Diesel power, besides increasing operating cost is also leading to huge greenhouse gas emissions. With regulatory authorities contemplating to curb carbon emissions and rising liquid fuel cost putting pressure on operating margins, re-newable energy could prove to be an attractive option for telecom sector.

In India close to 400,000 telecom towers are there with tenancy ratio of ~ 1.8 . Electrification scenario v/s telecom coverage is depicted in Fig-1

Close to 10% towers don’t have electricity and around 50% towers get less than 12 hours supply. Since telecom operation is of 24 X 7 nature operators/ telecom towers company have to rely on back-up power sources that’s batteries and Genset.

It has been found that every tower on average consumes around 22 liters of diesel because of non availability of grid power which results around 20 CER per year per tower.

Also for a telecom operator in the operating cost the energy cost is 30-33% which needs to be brought down as this has pressure on bottom line as ARPU is getting lower and lower.


Diesel pilferage losses ~20% have been observed in the industry which further increases the energy costs. In extreme cases overall cost of generation has sky rocketed to Rs 22-26 per unit

These tree pain points need cure in short time, in addition to regulatory requirements, required to be addressed in most effective and cost effective way.

The Solution

Telecom operators and telecom tower companies are having challenges/ to address points-

• Reduction in operating cost i.e. energy cost

• Reduction of carbon emission

• Stopping pilferage

Going ahead, telecom growth is expected from rural areas which would mean greater dependence on diesel for power and hence higher energy cost.

Higher dependence on liquid fuel along with intense com-petition would put pressure on margins for telecom tower companies going forward. Also in absence of 100% fuel pass through mechanism renewable energy appears to be a better option.

a. Technology Selection

A typical telecom tower has an energy requirement in the range of 3-5 kW. Various technology solutions are available for powering telecom towers, but success of each of the available technology depends on multiple factors like capital expenditure, operating cost, reliability etc. While there are complex technologies like fuel cells available, viability in Indian context becomes a question. In India, solar and wind have been widely used in various distributed generation applications and have been successful in the past.


Solar & Wind energy are the most mature technologies amongst all the other sources of green power and could be looked as a long term power solution for telecom towers in India.

Therefore the Company would use solar as their solutions.

It would also take up the responsibility of Operation and maintenance of the site. Typically would sign long-term agreement with lock-in period of 5 years and reduction of energy cost to the order of 25%+ of the diesel cost.

Fig-2 Site with Solar Solution[2]

Why Now:

Though the providing of power back-up through solar, wind and alternative resources being considered by telecom operators and tower companies since the tower sharing being vogue since 2007 when Department of Telecom allowed the sharing of passive infrastructure through IPL-1 licenses.

The Master Service Level agreements entered between telecom operators and Tower companies envisaged that Energy charges were pass through. Hence no incentive for a tower company to invest in energy efficient infra and operator were too busy in roll out and no focus on efficiency. But now is. Hence MSA being renegotiated for fixed energy charges.

Further as per the Department of Telecommunications directive dated 23.1.2012,


Though telecom operators have been discussing with DoT , this have to be implemented sooner than later.

This provides opportunity for company like XYZ Energy to serve this market.

Market Analysis

There are around 400,000 telecom towers in India. The leading tower companies are and number of towers is as per the Table-1.

|S.No. |Tower Company |No of Towers As on 31st March|
| | |2015 |
|1 |Indus |125,000 |
|2 |Viom |42,000 |
|3 |Bharti Infra |38,000 |
|4 |GTL |32,000 |
|5 |Tower vision |9,000 |
|6 |ATC |10,000 |
|7 |Reliance Towers |65,000 |
|8 |BSNL |62,000 |
|9 |Ascend Towers |5,000 |
|10 |Vodafone/ Idea non Indus circles |14,000 |
| |Total |402,000 |

Table-1 [4]

Considering this if 50% towers having the less than 12 hrs grid supply then the addressable size is around 200,000 towers.

In the Targeted circles for the Company i.e.:

1- Haryana 2- Punjab 3- Up West 4- Delhi 5- Rajasthan

Around 60,000 towers are there. Assuming in first 3 years 30 % of this would get converted into Diesel free sites then its 18,000. Company would be targeting to get 10% thus around 1,800 sites.


The companies who are in business of generating solar energy grid connected or off grid are in competition but grid connected one not so interested as they deal in bulk supply of energy to grid. The off grid players are the one & RESCOs who are providing such services. Some of them are

• Applied Solar • Bhaskar Solar • Tata BP • OMC Power • Delta • Tapan Solar • LANCO • Moser Baer

The SWOT Analysis of XYZ Energy services are


1- State of the Art Technology based Solar Hybrid Systems 2- Technology expert with proven credential on board as designer of the solutions with combined experience of 100+ years 3- Focused geographical area/ customized services 4- Energy as well as O&M services contracts 5- Relationship with Key decision makers in Industries


1- New Entrant 2- Small base 3- Price pressure 4- Financial strength


1- Large market size ready to be acquired due to regulatory compliance 2- Carbon Credits


1- Regulation relaxation 2- Financial constraints of telecom & tower companies 3- Delay in payment / Bad cash flow.

Product/ Solutions

The company would use the integrated solar hybrid systems form the leading power electronics company to provide the solar solutions and managing the different source of energy at the new BTS sites. Company would provide the turnkey solutions comprising

• Power Electronic System • Photovoltaic modules • Cables • Switches • Monitoring & controlling systems • Installation & commissioning services • O&M services • Any other services as would be agreed upon on case to case basis.

And for existing site, it will use the Solar charge controller approach.


This is schematic of a typical solar charge controller solution for a telecom site.

[pic]Integrated site solutions

The Business Model

To start with company would work on the OPEX and usage model and would sign contract with Tower companies. The technical configuration would be finalized along with agreed saving with respect to diesel with the customer and would be deployed. This would as follows

1- Customer would pay the monthly installment for 5 years period at the agreed interest rate towards the CAPEX 2- Energy contract would be signed for minimum of 10 years 3- Energy charges ( electricity pass through + agreed qty of diesel at market price) 4- Customer will also pay for the O&M charges of the site 5- Annual Maintenance charges 6- Any other charges mutually agreed upon 7- Space for PV module and other equipment would be provided by customers free of cost.

The company would tie-up with solar module provider and electronic provider as strategic partner for sourcing the required components of the solutions.

Would design the most competitive and reliable solution which meets the customer requirements and ensure the maximum availability.

Executive Relationships of the promoters and proven solutions design capability would be leveraged initially along with the credibility of technology partners.

Field Engineers team would be built-up as business grows at different circles.( 40-50 sites per engineer)

The organizations would be structured in Head office at Delhi and circle offices in Haryana & Punjab, UP West and Rajasthan.

The company would also tie up with local service providers in circles for providing O&M services.

Management & Team

The Organization structure would be


Respective Functional Heads would formulate the policies, guidelines and procedures for their functions. However that would be consistent with the ethics and business practices of the organizations of reputes such as Tata .

The company having zero tolerance policy as far as compliance with law of the land, the acts, pollutions policy, labor and sexual harassments policies are concerned.

The company would hire the right person with required technical, communications and conceptual skills at all level without any biases and prejudices.


Assumptions are

1- The typical telecom sites having 2 BTS require around 6Kwp PV module. Hence the cost @ Rs 50 per watt = Rs 300,000 2- The cost of electronics , cables etc. = Rs. 150,000 3- Cost of battery = Rs. 75,000 4- Manpower cost per site per month= Rs.6,000 5- Interest rate = 17%

The project cost is calculated for 100 sites for maximum period of 10 years

The CAPEX Requirement is Rs. 44,438,087.67

OPEX Requirements as in the calculations.

The NPV for 10 years comes to Rs. 45,797,577.61

IRR for 10 years comes to: 36%

The NPV for 5 years comes to Rs. 7,257,167.33

And IRR for 5 years comes to: 23%


The Harvesting Strategy

Based on the above financial the Enterprise Value after having achieved the installation of 100 sites and getting the Cash flow as projected comes to as follows

|The 10th year Revenue is | |
|30,614,300.76 | |
| | |
|The growth in the revenue is 7% | |
| | |
| | |
|Interest rate is 17% | |
| | |
| | |
|Hence perpetuity value is | |
|306,143,007.61 | |
| | |
| | |
| | |
| | |
|Hence Enterprise Value | |
|351,940,585.22 | |
| | |

The exit strategy would be to get the buyer who pays around Rs. 35 Cr. If not, the company would keep expanding the operation and would strive to get leadership position in North India and then All over India.

[1] Ministry of Power Government of India
[2] Department of Telecommunications/BSNL site
[3] DoT letter dated 23.1.2012
[4] Frost & Sullivan and KPMG Report










Similar Documents

Free Essay

Renewable Energy

...hydroelectric energy as a way to effectively generate, use and store renewable energy through the clean gravitational potential energy of stored water. Nuclear and coal fired plants could do change power output to achieve demand but at extremely high maintenance cost. Nuclear plants also being a good source of continuous energy has a high chance of posing hazard to the environment. Coal and fossil fuel fired power plants on the other hand cannot be depended on because the source will diminish someday. Therefore, alternative methods have to be explored in order to find a renewable and sustainable energy for the future generations. This project paper will study the benefits of hydroelectric energy as a potential and important energy source for a sustainable future. INTRODUCTION 1.0 Hydropower Hydropower is a renewable energy source based on the natural water cycle. Hydropower is the most mature, reliable and cost-effective renewable power generation technology available. Hydropower schemes often have significant flexibility in their design and can be designed to meet base-load demands with relatively high capacity factors, or have higher installed capacities and a lower capacity factor, but meet a much larger share of peak demand. Hydropower is the largest renewable energy source, and it produces around 16 % of the world’s electricity and over four-fifths of the world’s renewable......

Words: 7562 - Pages: 31

Premium Essay

Renewable Energy

...the production of hydrogen from electrolysis, via renewable electricity in particular. | | | |2 | |Give a concise description of the University of Glamorgan’s Renewable Hydrogen Research and Demonstration Centre at Baglan. Present your | |description in terms of the technology employed and history. | | | |3 | |Describe the advantages and disadvantages of the University of Glamorgan’s Renewable Hydrogen Research and Demonstration Centre. This | |section should include a comparative assessment of this technology against other potential energy uses for the renewable electricity. This | |section may include aspects such as: | |Comparison in terms of energy conversion, cost, practicality, market......

Words: 4046 - Pages: 17

Premium Essay

Renewable Energy

...America’s Future with Renewable Energy Robert Keith Clark ENG122 Prof. Sabine Meyer May 5, 2013 America’s future with renewable energy Only a very small percentage of the energy from the sun reaches the earth. However, one hour of that sunshine provides enough energy to power the entire world for a year (National Geographic, n.d.). As America moves forward into the 21st century, U.S. environmental policies need to do more to encourage green renewable energy technology thus reducing dependence on foreign oil, while focusing on environmental concerns, and helping to ensure that the United States remains a world leader. Methods Initial research for this project began with a look at U.S. government statistics and websites. However, as the research continued the Ashford library became a valuable source of information. This research paper is a combination of scholarly journal articles and other reliable articles from reputable news organizations. Some of the data came from teams of scientists and other international organizations that collect and organize data about renewable energy and environmental issues. One source that was particularly useful was America’s Energy Future (2009); the book was written by the Committee on America’s Energy future, the National Academy of Sciences, the National Academy of Engineering, and the National Research Council. Even though the information contained in this research project came from reliable sources, the......

Words: 2161 - Pages: 9

Premium Essay

Renewable Energy

...Renewable Energy! Do you know what is a renewable energy is? First you should know what energy is ! What is energy! An energy is a capacity or the abilty to do a work. What is a renewable energy? A Renewable energy is an energy that can be renewed or be used again also it might be like it is recylcled ,the main point is it releases less cabondioxide and other greenhouse gasses, which is very good for the envoriment and it prevents global warming too! There is Non Renewable energy too, which is the direct opposite to Renewable energy! Types of Renewable energy They are: Hydropower, solar energy, wind energy, geothermal energy, biomass energy etc. Solar Energy Solar energy is the energy from the Sun. It produces heat as well as light and together it produces electricity! You might be surprised if you knew that you are using solar energy everyday! For e.g. for showers, cleaning and heating up your home! Solar panels produce electricity and save energy for our homes. Solar energy is natural and renewable as it comes from the Sun. Wind energy Wind energy is a form of solar energy. It is also natural like solar energy. Wind energy is useful and wind turbines produce lots of electricity.Wind turbines or wind mills as they were called has become the most use of producing energy in many countries. Wind turbines are located Renewable Energy! Do you know what is a renewable energy is? First you should know what energy is ! What is energy! An......

Words: 476 - Pages: 2

Premium Essay

Renewable Energy

...Renewable Energy Summary Renewable energy flows involve natural phenomena such as sunlight, wind, tides, plant growth (biomess) and geothermal heat. According to the International Energy Agency (2002), “Renewable energy is derived from natural processes that are replenished constantly. In its various forms, it derives directly from sun, or from heat generated deep within the earth. Included in the definition is electricity and heat generated from solar, wind, ocean, hydropower, biomass, geothermal resources, and biofuels and hydrogen derived from renewable resources.” Renewable energy resources and significant opportunities for energy efficiency exist over the world. Compare to other traditional energy resources like fossil fuel, which are concentrated in a limited number of countries. The rapid development of renewable energy and energy efficiency, and the technological diversification of energy resources, would provide a sustainable and stable supply of energy and a significant growth in economy for the world in a foreseeable future. History of Renewable Energy Prior to the development of coal in the mid 19th century, nearly all energy used was renewable. The oldest known use of renewable energy, in the form of traditional biomass to fuel fires, dates from 790,000 years ago (K. Kris, 2013). The second oldest usage of renewable energy is using the wild to drive ships over water. This can be traced back 7,000 years ago, to ships on Nile (The Encyclopedia......

Words: 5063 - Pages: 21

Premium Essay

Renewable Energy

...Renewable Energy Page 1 Renewable Energy Nathan Wenzel University of Phoenix Renewable Energy Page 2 “According to a new UN report, the global warming outlook is much worse than originally predicted, which is pretty bad, when they originally predicted it would destroy the planet.” (Jay Leno). Humans are creating a lot of damage to the planet’s environment, and if we don't do anything to prevent the carnage soon, the results could be disastrous. Most people have knowledge about global warming and believe it may be a sincere dilemma in the future. What most people don't know is that global warming is currently happening, and we are already experiencing some of what it is capable of doing. Knowing of the harmful effects of global warming, alternative energy sources need to be pursued. Finding and using alternative energy sources may be the only way to stop the increase of global warming. Global Warming is something that is greatly influenced by the energy crisis. Most of global energy production is produced from fossil fuel such as coal, oil and natural gas. The vast majority of fossil fuels generate energy which is used for many purposes for residential, transportation and......

Words: 1487 - Pages: 6

Premium Essay

Renewable Energy

...Socio cultural factors 11 Population demographics 11 Technological Factors 12 Level of technology in renewable energy 12 Availability and cost of skilled employees 13 Geography 14 Renewable energy potential in Nigeria 16 Solar Energy 16 Wind Energy 17 Waste-to-energy 17 Biomass 17 Reference 19 INTRODUCTION There is higher demand for electricity in the country due to the high consumption and need for electricity, and this project is the plan to study the demand for renewable energy re- sources in Nigeria and to find out the main competitors and discover the best periods for market entry in the country via the micro and the macro environmental analysis. The demand for renewable energy in the country is being driven by the increase and urbanization access to energy intensive technologies, product and the industrial growth. The Nigerian government is wooing energy companies to come and invest in the country. Special energy policy for foreign investors is being organized, such as tax reduction for energy investors in the country, softening all policies related to energy. Nigeria has a lot of renewable energy potential such as sunlight, which might be productive for solar power, and abundance bio-waste for biomass energy production. The renewable energy products that Nigeria requires most are Solar, Hydro, Wind, & Bio-energy. Premium Renewable Energy Sdn Bhd was formed in 2007 with the objective of affecting positive environmental change at a global......

Words: 3695 - Pages: 15

Premium Essay

Renewable Energy

...hotmail2008 Table of Contents Executive Summary 2 Introduction 3 Wind Energy Data 5 Analysis 6 Conclusion 8 Bibliography 9 Executive Summary The majority of our nation’s energy is highly dependent on finite fossil energy sources, like coal and oil. Using fossil fuels to create electricity creates emissions that are both harmful to the environment and our health. Renewable energy sources provide a clean and viable long term alternative to fossil fuels. Renewable energy is energy generated by natural resources in the form of solar, wind, geothermal, hydroelectric, and tidal waves. Among the diversity of renewable energy, wind energy is the fastest growing power technology in the world. According to the U.S. government Energy Information Administration, the production of wind energy will be at least 20% by the year 2030. This report will prove the validity of this statement by using hypothesis analysis. Hypothesis analysis will reject the null hypothesis that wind energy production will be less then 20% in favor of the alternate hypothesis that states wind energy production will be at least 20% or greater. Introduction The majority of our nation’s energy is produced from the burning of fossil fuels, like coal, oil, and natural gas. Life as we know it and our economy revolves around these finite resources. Unfortunately, with our great demand for energy, especially gasoline, world production of oil has already reached its maximum capacity and seems......

Words: 1694 - Pages: 7

Free Essay

Renewable Energy

...Justin Smith ENGB 5142 The Role and Challenges of Renewable Energy Energy is readily available everywhere and comes in various forms. Our universe was created when an infinitely large ball of energy suddenly collapsed and appeared as a small single speck that still contained vast amounts of energy and very low volume. Energy is a property of matter that allows life to occur. Energy sources can be transferred. Stated more eloquently in the First Law of Thermodynamics, “Energy cannot be created nor destroyed, but can change form.” Capturing different forms of universal energy and transferring them for purposeful use is essential for the progress of modern life. Transferring energy sources in methods of energy production is at the root of every developed nation and its renewability is central to economic development. How can we capture and redirect different forms of energy for more practical use? There are numerous ways to do this; many of which are commonplace around the world today. Acquiring certain forms of energy for use may require mining, drilling, combustion technology, photovoltaic panels, wind turbines, and other technologies. In the following paragraphs we will explore the vast world of energy by looking at the disadvantages to nonrenewable energy and taking an in-depth look at renewable energy sources and exploring the challenges associated with employing these types of sources in an effort to create energy sustainability in our world. We will......

Words: 3779 - Pages: 16

Free Essay

Renewable Energy

...When thinking about renewable energy, we think about learning how to be able to reuse the same resources to get more energy. There are many forms in getting energy to power our homes. We also have to stop and think about where all this energy is coming from and will we run out of the all our sources to provide more energy. One way we get energy is from drilling hole in the land to be able to get oil to burn to keep running the energy, but eventually that will all end and what are we going to do. Another way is green energy, using windmills to gather enough strength in the wind to be able to create the energy and save it to keep the energy going. When you really think about between both of them is one is hurting our land by will end up drying up in the future, but in the other hand we are using natural resources to get the energy we need and will need dry up. I know the old way is a lot cheaper, but we will get what we pay for in the long run. In the new way by being green, it can be expensive, but we can save the old way in case of an emergency in the long run and it is a lot healthier for the earth. When thinking about which way is the best choice in the end, it would be natural way with green energy. Investing into green energy might be a bit more expensive, but when you look into the long run it will be a better earth, we will not over exhausting our resources, and we are looking into a brighter future with more resources. We need to stop drilling into our future and find...

Words: 356 - Pages: 2

Premium Essay

Renewable Energy

...Africa’s Energy Sector Instructor Name: Allana Marie Haist Table of Contents Introduction 3 Literature of Review 3 Africa’s Energy Situation 4 Large-Scale Renewable Energy System 5 Why should Africa promote renewable energy? 6 Why Should Africa Promote Environmental Energy Efficiency? 7 Barriers to Renewable Energy Development 7 Recommendations For Boosting Renewable Energy in Africa 8 Conclusion 9 Methodology 10 Interpretation of The Results 14 Conclusion 15 Recommendations 16 Limitations 16 Works Cited 17 Appendix A 19 List Of Figure: Figure (1)- Place of living 12 Figure (2)- Term Renewable Energy 12 Figure (3) - Implementing Green Energy In Africa 13 Figure (4) – What obstructs people from investing in green energy 13 Figure (5)- Do you think Energy and economic development are related? 14 Figure (6)- After allowing the direct electricity from solar panels to the nearest grid, therefore electricity bills will be lower, are you willing to invest in solar panels 14 Introduction There is a need to meet the growing......

Words: 3220 - Pages: 13

Premium Essay

Renewable Energy

...Renewable energy is an area where its believe that free less-distorted trade and environmental protection have the potential to be mutually reinforcing. Predominantly within the United States and Canada, demonopolization and restructuring for competition in the electrical utilities sector has led to new opportunities for renewables and there is heightened interest in Mexico, which has significant renewable energy prospective majority of which appropriate for export. The removal of barriers to trade in renewable energy equipment and technology promises to reduce the cost and increase the viability of meeting regional and global environmental obligation. The eventual possibility of regional trading schemes in Renewable Energy Certificates would permit NAFTA countries with a relative benefit in certain kinds of renewables generation — hydro-electric, geothermal-electric, wind or solar power, for instance — the chance to develop that comparative advantage by providing users of energy elsewhere a means of satisfying obligations (or voluntary commitments) to use renewable energy in their own jurisdictions. This opportunity exists even in cases where trading the energy itself is not feasible. In the US it is expected that the percentage of energy derived from non-Hydroelectric renewable sources will remain constant at approximately 7% of the total energy budget. Canada’s non-hydroelectric renewables sector is likely to repeat US trends but with large hydroelectric facilities both...

Words: 414 - Pages: 2

Premium Essay

Renewable Energy

...Experience with Promotion of Renewable Energy: Successes and Lessons Learned Parliamentarian Forum on Energy Legislation and Sustainable Development Cape Town, South Africa 5-7 October, 2005 Richard L. Ottinger[?] Abstract: Renewable energy is becoming economic in all markets as its rapid growth results in more competitive prices. It is particularly appropriate and increasingly being adopted for providing electric power services to rural areas in developing countries unlikely to be served by grid electricity. Policies needed to implement renewable energy systems in rural areas are discussed in this paper. Most prominent are removal of subsidies to traditional energy primarily benefiting the wealthiest; involving the local populace in decision making; educating financial institutions about the economics of investing in renewable energy systems and creating investment vehicles appropriate to financing them in poor localities; training personnel on management, maintenance and drafting contracts; requiring vendor provision of maintenance and parts; and effective regulation and oversight of system management and financing. I. Introduction The recent sharp increases in the prices of oil, natural gas, uranium and coal underline the importance for all countries to focus on development of alternative energy resources. For developing countries, these price increases can have ruinous economic consequences; for many countries already plagued by poverty this......

Words: 14169 - Pages: 57

Premium Essay

Renewable Energies

... Renewable energy is generally defined as energy that comes from resources which are naturally replenished on a human timescale such as sunlight, wind, rain, tides, waves, and geothermal heat. Renewable energy replaces conventional fuels in four distinct areas: electricity generation, air and water heating/cooling, motor fuels, and rural energy services. Based on REN21's 2014 report, renewables contributed 19 percent to our global energy consumption and 22 percent to our electricity generation in 2012 and 2013, respectively. Both, modern renewables, such as hydro, wind, solar and biofuels, as well as traditional biomass, contributed in about equal parts to the global energy supply. Worldwide investments in renewable technologies amounted to more than US$214 billion in 2013, with countries like China and the United States heavily investing in wind, hydro, solar and biofuels. Renewable energy resources exist over wide geographical areas, in contrast to other energy sources, which are concentrated in a limited number of countries. Rapid deployment of renewable energy and energy efficiency is resulting in significant energy security, climate change mitigation, and economic benefits. In international public opinion surveys there is strong support for promoting renewable sources such as solar power and wind power. At the national level, at least 30 nations around the world already have renewable energy contributing more than 20 percent of energy supply. National renewable energy......

Words: 7346 - Pages: 30

Free Essay

Renewable Energy

...entirely on fossil fuels as a form of energy and fuel. There is a very finite amount of fossil fuels in the grounds and it in inevitable that we will run out. For a time we thought ethanol from corn would be what took us away from our dependence on fossil fuels. Scientists are now looking into various options for alternative sources of fuel such as solar power, wind and biomass. Biomass in the form of cellulosic ethanol seems to hold the most promise as an alternative to fossil fuels for several reasons. Cellulosic ethanol is a completely renewable resource, unlike fossil fuels, and can be converted from plants, wood clippings and tree branches, even human waste in some cases (Khemani, 2008). The primary source of cellulosic ethanol is from tree harvesting and leftovers from paper mills. All of these resources can and are replaced or produced daily. The use of human waste and garbage would also alleviate some of the pollution problems of the world. There are other sources of energy that are more popular or have gotten more attention in the last few years such as wind and solar power. Wind power is feasible for farmland because it only requires a small portion of land and does not interfere with the everyday on goings of the farm; it is not feasible as a source of energy for the mass populous. There is also the fact that the wind isn’t constantly blowing to turn the wind turbine, which in itself creates a problem. Solar energy has the same drawbacks. It can be......

Words: 686 - Pages: 3