It’s 2022 and the world is in the middle of one of the toughest times in human history. The Covid-19 pandemic wreaked havoc globally during the course of the last two years, killing millions of people and snatching the livelihood of millions of others.
As the world was starting to emerge and resemble some form of normality, the war in Ukraine disrupted whatever was untouched. Today, inflation is peaking, people are losing jobs due to layoffs and most countries are at risk of slipping into recession.
There is however a silver lining as the global transition towards more sustainable solutions in the form of green energy, has been given a much needed boost.
With the war in Ukraine, the world suffered a severe energy shortage. Before the war Russia as well as Ukraine, were among the biggest suppliers of global energy including crude oil.
Europe was the biggest importer of energy from Russia,and as a result of the war, saw a fall in its supply. Despite filling up the reserves, the continent today stands at a risk of seeing large power cuts in the upcoming winter months. Africa too has suffered a drop in it’s energy supplies.
But as they say, sometimes accidents lead to inventions.
The war brought about a realisation among the powerholders that they can no longer depend on a handful of countries or rely on non-renewable sources of energy for their needs. They need to innovate.
So, governments today are shifting to greener fuels at a faster rate than before the war. In a sense, 2022 brought an unprecedented shift towards the consumption of green energy.
Hitting the peak
A recent report by the Paris-based International Energy Agency showed that global emissions are expected to peak in 2025. The demand for non-renewable energy sources is also expected to peak by 2030.
It would require conducive policies, more funding and a better supply chain to make the idea of a positive shift to greener energy, a reality.
Potential worries
Making the change to green energy would require a significant amount of funding. Moving from conventional energy-run machinery to a piece of machinery that is powered by solar, wind, hydro or even nuclear energy would not be possible in a short amount of time. It would need more innovation, higher subsidies from the governments and better cross-border collaboration.
It would require seamless supply chains to facilitate the rapid change.
The governments would be required to make policies that encourage more investment in green energy. Among these, green hydrogen would play a bigger role in industries, agriculture as well as vehicles. It will provide a sure-fire way to reduce carbon emissions and reach the Paris Agreement goal by2050.
It would also require more funding and better collaboration between the private and the public sector. This is especially true in regions of Africa and South and South East Asia.
The future needs you
With better interaction between businesses, banks, DFIs, and other government agencies, it wouldn’t be too difficult to find the money to make the switch to greener energy.
Green energy is the need of the hour and it requires you
Businesses can expand their horizons, work beyond borders and look for diverse opportunities. From providing more jobs to making additional money by running businesses around green energy, the opportunities really are immense.
Green energy will help businesses in cutting costs as well as setting up more efficient systems.