The future of solar energy

Last year’s events in the energy industry can reveal much about the next 30 years or so. Let’s look at a quick summary of these predictions.

More and more countries swore to go carbon neutral in the near future. This will tighten the bond between the capital market and the renewable industries in the following years.  

Many have started to realize the economic benefits of green energy too. Solar energy, unlike fossil fuel, does not require establishing a mine or building an oil well – only the necessary infrastructure. Moreover, renewables cause the deflation of energy prices, while fossils cause inflation. This will affect the value addition process of the energy industry in the next 30 years. By 2030 the current renewable energy capacity of approximately 3 gigawatts in Hungary will increase above 7 gigawatts and by 2040 to over 13 gigawatts, largely thanks to newly installed photovoltaic solar power.  

The number of solar projects will rise quickly, causing the technology to be cheaper over time. Yet, in the meantime it keeps being developed as well. This means dramatically lower costs and higher performance in the future.  

Producing fossils will get more and more problematic over the years. This increases the risk of investments. In the case of solar, there is no such issue, and because of that, they are a safer alternative in financial terms too. The International Energy Agency declared solar energy as the world’s lowest-cost source of electricity ever. With sharp cost reductions over the past decade, solar PV is consistently cheaper than new coal- or gasfired power plants in most countries, and solar projects now offer some of the lowest cost electricity ever seen.  

All in all: solar has a brighter, cleaner and cheaper future ahead of it. And we will surely be a part of it. Will you?

Source: mnnsz.hu & napi.hu & International Energy Agency - “World Energy Outlook 2020” Report 

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