Tuesday, November 5, 2019

The Size of the Green Economy and the Growth of Renewable Energy

The International Renewable Energy Agency (IRENA) reports that there are $160 trillion of savings associated with renewables and other climate actions. Led by renewable energy the green economy is growing by leaps and bounds yet it is still an undervalued opportunity.

Clean energy is benefiting from the mutually reinforcing factors of increasing demand and declining costs. Tremendous declines in the price of solar and battery storage make a compelling business case for renewables.

Despite resistance from the federal government, the US is seeing a renewable energy boom as states and utilities are setting ambitious clean energy goals. According to an October 2019, Palgrave Communications article published in the Journal Nature, the US green economy (including renewables) is worth $1.3 trillion, or about 7 percent of US GDP.

The study from University College London found that in the United States the green economy grew 20 percent from 2013 to 2016, and that number is projected to keep getting bigger. However, the report indicates that to remain competitive, the green economy and the clean energy sector need government policies and other forms of support.

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