3 Reasons for Solar Power Investment
Saving our precious natural resources has become a global consensus in recent years, countries are setting carbon emission reduction targets, multinational corporate have taken various actions to meet the goals, among which green investing has gained importance in recent years.
Solar power will be our major power source by 2035
According to a McKinsey’s study, the renewable power generation will represent more than half of the global total electricity generation by 2035. A research done by The Hong Kong Polytechnic University shows that the potential of solar energy generation can reach 10.7% of total electricity consumption in Hong Kong, which translates into the solar PV capacity of about 3.6 gWh.
Since more corporate are joining the solar market worldwide, the installation and maintenance costs have fallen by 70%. Along with the increase of demands on high-quality solar PV projects to maximise the cost efficiency, the market up-sizes every day. This main pillar of impact investing will continue to grow in times. Green investing with careful selection of project details is the key to leverage the renewable energy trend.
Solar power investment to achieve national carbon emission reduction goals
Since the Paris Agreement was signed, 197 countries have ratified the convention, 179 countries of the agreement have set their national carbon emission reduction goals. Countries like Germany, Japan, India, United Kingdom, Taiwan, and China are investing in solar projects to achieve their goals.
Sustainability and corporate social responsibility are important components of an organization’s culture and values. Why not achieve both? Consumers and communities take whether businesses choose to operate responsibly into consideration. Green initiatives become a powerful driver of consumer purchasing decisions, hence improve business performances.
Solar PV System is most profitable among all renewable energy solutions
Compared to wind power and hydroelectric power, solar energy will have less energy loss. And solar panels can now be installed at the rooftops or even float on the water. This can save space for concrete jungles like Hong Kong with over 233,000 buildings are suitable for installing solar panels (with a total area amounting to 39 km2), which can enjoy sunshine for more than half of its days in a year.
In Hong Kong, there is a Feed-in Tariff (FiT) Scheme sponsored by Hong Kong SAR Government to promote the development of renewable energy. Under the scheme, installing solar photovoltaic systems can sell the renewable energy generated to the two power companies at a rate as high as HK$5 per kWh, which is about five times more than the normal electricity tariff rate.