Green energy infrastructure is a term that is coined to describe a framework of resource-efficient and environmentally sustainable methods of producing, distributing, and consuming energy. This framework includes the construction and maintenance of renewable energy sources such as solar, hydroelectric dams and wind in order to reduce pollution caused by greenhouse gases. The green power infrastructure will also provide utilities with long term financial stability by mitigating the risk from volatile oil prices.
Benefits of green energy infrastructure
- Mitigation of global warming
There are approximately 200,000 wind turbines worldwide, producing a total of over 15 billion kWh. This is equivalent to the output of an average nuclear power plant per year. If all the wind farms that have been proposed were built, they would produce enough electricity to meet all current worldwide energy demand.
- Economic benefits
According to a study by Price Waterhouse Coopers in 2006, the economic benefits of investing in renewables and green energy infrastructure have been estimated at USD$54 trillion by 2050, with total economic impact amountsing to more than USD$3 trillion on present day levels in 2010 (USD$18 trillion in 2020).
- Security of energy
A study by the International Energy Agency (IEA) has raised concerns about the security of the energy supply in future, and the probable increase in consumption of fossil fuels as a result of an increase in demand from developing countries. The IEA has proposed that green infrastructure would become central to providing reliable and secure power.
- Low-cost sources of energy
Renewable energy technologies are cheaper and more environmentally sustainable than fossil fuels. Because capital costs per kWh generated can be as low as $.10, renewable energy has the potential to provide electricity at a much lower price than fossil fuel-based power generation. This was demonstrated by the 2007 World Economic Forum’s Renewables Global Status Report, which showed that on average, renewables cost only 10 to 20 percent more than fossil fuels. Recent research also indicates that for many applications, wind energy technologies produce electricity at about half the cost of traditional nuclear power plants.
- A global investment plan
Large-scale manufacturing and assembly plants for batteries and other components for renewable energy technologies are now in operation. These new factories allow companies to become involved in the renewable energy industry without much risk or capital expenditure.
- Conventional energy sources can be used for backup
While coal, oil and natural gas provide much of our total energy requirements, they cannot be relied on 100 percent of the time due to their volatility. Despite significant research into ways to increase fossil fuel stockpiles, most experts agree that when properly designed, green infrastructure could provide a significant portion of our total energy requirements.
- Natural disasters and terrorism
A global stockpile of power can provide a quick response to natural disasters. In the United States, Hurricane Katrina in 2005 demonstrated the vulnerability of fossil fuel-based power production and storage facilities, and highlighted the need for emergency backup systems. The global investment plan outlined above would give renewable energy infrastructure a significant advantage over fossil fuels in this regard.
- Global competitiveness
The potential is clear: Renewable energy technologies now exist which can generate electricity cheaper than conventional coal-based power generation plants and at a lower environmental cost. This has been proven by recent technology breakthroughs, such as more efficient solar panels, improved wind turbines and biomass conversion technology.