The world has finally recognized renewable energy resources as a solution to meet the increasing global energy demands. With developing countries like India and China making considerable investments in solar energy, it has become the fastest growing energy source of the world in the year 2016.
A recently published report of the US Energy Information Administration (EIA) shows valuable insights on increasing energy demand, cost, and spread of energy resource from 2013 to 2016. The report concludes that over this three-year span, the cost of wind energy reduced, becoming cheaper when compared to natural gas, which stayed roughly flat during the same period. Furthermore, by 2016, the cost of solar power dropped significantly to less than $2500 per kilowatt, the report said.
Another report by EIA—published in 2017—projected a 28 percent increase in global energy consumption by 2040. Countries like India and China would contribute to much of this energy consumption as the fast economic growth in these countries drives energy demand, the report states. According to the report, China and India alone would account for 60 percent of the total global energy consumption from 2015 through 2040. EIA report also speculated a decline in the use of coal, especially by China, the world’s largest coal consumer. Evidently, coal is being increasingly replaced by renewable energy sources and natural gas in major economies of the world.
The use of solar energy and other renewable resources hasn’t reached its full potential. Increasing concerns about climatic change and global warming will force nations to rethink the very idea of development, making them invest more in renewable energy.