Renewable energy sources refers to the energy of the sun, water, wind and biomass and is forming an increasing share in the world energy balance as well as becoming more important in the social and economic development of more than 100 countries implementing large-scale programmes in the field of renewable energy.

Experts identify five main reasons for the intensive development of this sector:

• the focus of many countries on the transition to clean energy,
• including commitments to reduce the production of greenhouse gases to prevent further warming of the climate;
• the growing demand for electricity around the world, primarily in the developing countries, where there is an active growth of industrial production, as well as concern by the governments of these countries about the environmental situation and the lack of their own traditional mineral resources;
• the desire of many small countries to be independent from the energy import,
• the price increase for the traditional fuel types;
• the constantly decreasing cost of energy production from the ecologically clean sources.

Only last year at the 2021 United Nations climate summit in Glasgow, governments around the world made commitments to reduce greenhouse gas emissions from fossil fuel use to limit hazardous global temperature rises. Many have pledged to achieve net zero economies within decades – ensuring the total carbon added to the atmosphere is balanced by the total removed by nature or technology.
This impetus will bolster existing pressure on business from investors and the public to reduce its carbon footprint and to embrace sustainable development principles to protect the planet for future generations.

Energy suppliers in particular are on notice to phase out their reliance on climate-warming fossil fuels in favour of clean, renewable sources. These forces are driving an energy transition as significant as the shift from steam to electricity. The change has profound implications for national economies and creates great opportunities for businesses like Green Energy Alliance.

The multiple pressures to decarbonise economies will mean that renewable sources must make up an increasingly large share of the energy mix and demand for green electricity will have to grow rapidly to fuel electric cars and other sectors that are shifting to electricity to decarbonise. On the supply side, the falling cost of established methods of clean power generation is also shifting the balance in their favour.

According to the International Energy Authority’ latest market update, the amount of renewable electricity capacity added in 2020 rose by 45% to 280 gigawatts (GW), the largest year-on-year increase since 1999. The 2020 increase is set to become the “new normal” with about 270 GW of renewable capacity added in 2021 and almost 280 GW on course to be added in 2022, with renewables now accounting for 90% of new power capacity expansion globally.

Further, according to Allied Market Research, the global renewable energy market was valued at $881 billion in 2020 and is projected to reach $1,977 billion by 2030. That is a compound growth rate of 8.4% a year and there are around 13,000 renewable energy projects waiting to be green-lit with financing, with a required investment of approximately $2 trillion. Money is flowing into the sector to make those projects a reality with investors pouring a record $174 billion into green energy stocks and funds in the first half of 2021.
Behind these global statistics lie extraordinary opportunities for tens of thousands of companies in all parts of the renewable energy supply chain and it is for this reason that we at Green Energy Alliance are seizing the moment to launch our “alliance” business model.