U.S. Renewable Energy Doubled in Last Decade, But Still Has Strong Tailwinds Behind It

U.S. Renewable Energy Doubled in Last Decade, But Still Has Strong Tailwinds Behind It


One component of our Cleaner Living investment theme is Clean Energy, an aspect of the theme that is nearing a critical tipping point. When technology, regulatory mandates and consumer behavior all come together and work in concert with one another, it’s at that point that we often see hockey stick like growth charts. It happened in the late 90’s with the mobile phone industry, in the 2000’s with the push to deliver broadband internet access across the country and now it’s happening in the renewable energy sector with the rise of wind and solar farms.

Technology has improved the efficiency of generating power through wind and solar, state and local legislative bodies are mandating that utilities meet high hurdles of transforming their portfolio of energy production away from fossil fuels and towards renewables, and lastly, consumers are demanding it more and more. As a result, the data is beginning to show tremendous growth in the space:

Electricity generated by wind farms and solar panels has almost doubled since 2008, according to a new report by the U.S. Energy Information Administration.Renewable energy sources produced a record 742 million megawatt hours – 18 percent of all the electricity generated – last year, compared to 382 million MWh produced in 2008.

Source: U.S. renewables doubled in 10 years – HoustonChronicle.com


The last point of those figures above is critical — 18% of electricity generated comes from renewable sources, which includes wind, solar and hydroelectric dams. That means there is still a lot of runway left as the transformation of the electricity grid continues, which is good news for investors looking to ride the tailwinds of this theme (pun intended!)

About the Author

Chris Broussard
I'm the Co-Founder and President of Tematica Research and editor of Thematic Signals, which aims to uncover confirming data points and items to watch for our list of investing themes. Whether its a news item, video clip, or company commentary, we've included this full list of items literally "ripped from the headlines." I have been involved in financial services marketing and publishing for over 20 years – having held senior level positions with financial publishers, financial services corporations and providing marketing support and consulting services to financial institutions and independent financial advisors. My background in digital marketing, financial services and consumer research provides me with a unique perspective on how to uncover the underlying proof points that are driving the themes our Chief Investment Officer Chris Versace utilizes in our various Tematica publications.

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