Renewable Fuels for Alternative Energy

The Germans have really taken off when it comes to renewable fuel sources, and have become one of the major players in the alternative energy game. Under the aegis of the nation's electricity feed laws, the German people set a world record in 2006 by investing over $10 billion (US) in research, development, and implementation of wind turbines, biogas power plants, and solar collection cells. Germany's “feed laws” permit the German homeowners to connect to an electrical grid through some source of renewable energy and then sell back to the power company any excess energy produced at retail prices. This economic incentive has catapulted Germany into the number-one position among all nations with regards to the number of operational solar arrays, biogas plants, and wind turbines. The 50-terawatt hours of electricity produced by these renewable energy sources account for 10% of all of Germany's energy production per year. In 2006 alone, Germany installed 100,000 solar energy collection systems.

Over in the US, the BP corporation has established an Energy Biosciences Institute (EBI) to spearhead extensive new research and development efforts into clean burning renewable energy sources, most prominently biofuels for ground vehicles. BP's investment comes to $50 million (US) per year over the course of the next decade. This EBI will be physically located at the University of Illinois Urbana-Champaign. The University is in partnership with BP, and it will be responsible for research and development of new biofuel crops, biofuel-delivering agricultural systems, and machines to produce renewable fuels in liquid form for automobile consumption. The University will especially spearhead efforts in the field of genetic engineering with regard to creating the more advanced biofuel crops. The EBI will additionally have as a major focal point technological innovations for converting heavy hydrocarbons into pollution-free and highly efficient fuels.

Also in the US, the battle rages on between Congress and the Geothermal Energy Association (GEA). The GEA's Executive Director Karl Gawell has recently written to the Congress and the Department of Energy, the only way to ensure that DOE and OMB do not simply revert to their irrational insistence on terminating the geothermal research program is to schedule a congressional hearing specifically on geothermal energy, its potential, and the role of federal research. Furthermore, Gawell goes on to say that recent studies by the National Research Council, the Western Governors' Association Clean Energy Task Force and the Massachusetts Institute of Technology all support expanding geothermal research funding to develop the technology necessary to utilize this vast, untapped domestic renewable energy resource. Supporters of geothermal energy, such as this writer, are amazed at the minuscule amount of awareness that the public has about the huge benefits that research and development of the renewable alternative energy source would provide the US, both practically and economically. Geothermal energy is already less expensive to produce in terms of kilowatt-hours than the coal that the US keeps mining. Geothermal energy is readily available, sitting just a few miles below our feet and easily accessible through drilling. One company, Ormat, which is the third largest geothermal energy producer in the US and has plants in several different nations, is already a billion-dollar-per-year business—geothermal energy is certainly economically viable.

Pursuing Alternative Forms of Energy

Record high prices at American gas pumps and continued trouble-brewing in the Middle East, Nigeria, and other areas of importance to the oil-driven economy have made it clear to Americans that we are in need of developing many new avenues of energy supply and production. In short, we need to reduce our dependency on oil, for it is ultimately finite and, frankly, the cheap sources of oil (not all oil—just the stuff that is cheap to remove from the earth) are running out. Energy consultants and analysts are insistent that cheap oil has “peaked” or is very soon going to peak.  What this means for us is an expensive future—unless we can find new sources of powering our mechanized and electronic civilization, new sources which are alternatives to oil.

We must also switch to alternative forms of energy because our present forms are too damaging to the atmosphere. While this write does not believe that the global warming trend is much, if at all, sustained by the activities of mankind (in short, it's a natural cycle and there's nothing we can do about it except prepare for the effects of it), we certainly do contribute at present to the destruction of the environment and to things like air pollution with our energy sources as they are. Coal is another source of energy that we need to wean ourselves off of—again, it is finite, and it is filthy, and the mining of it is dangerous and environmentally disruptive. We can also explore new, streamlined methods for producing electricity that we presently generate so much of via hydro-power so that we are less disruptive of the environment when we have need of constructing things such as large dams.

Developing nations which have turned industrialized in recent decades especially will need the benefits of alternative energy research and development, for they are presently doing much more environmental damage than the United States. The United States, Japan, and some European nations have been implementing studies into and programs for the development of alternative energy sources, and are therefore already leading the way in doing less environmental damage. The developing nations such as China and India need to look to Japan and the West as examples of what research and development to give government backing and private investment currency to. We could also add great robustness to our own economy by being at the forefront of such alternative energy sources development and then marketing the technologies and services to nations like India, China, Brazil, and so on and so forth.

Biofuels from things like “supertrees” and soybeans, refined hydroelectric technology, natural gas, hydrogen fuel cells, the further building of atomic energy plants, the continued development of solar energy photovoltaic cells, more research into wind-harnessed power—all of these are viable energy sources that can act as alternatives to the mammoth amounts of oil and coal that we presently are so dependent on for our very lifestyles. The energy of the future is green.

Investments in Alternative Energy

It is possible to have a portfolio which profitably (that's the key word, is it not?) invests in alternative energy funds. “Green” energy production is expected to be a multi-billion (in today's dollars) industry by 2013.

The most recently developed wind-turbine technologies have brought us wind-produced energy which is more cost efficient as well as more widespread. More state-of-the-art wind energy technologies are typically more market competitive with conventional energy technologies. The newer wind-power technologies don't even kill birds like in days of old! Wind energy production is a growing technology, and companies engaged in it would make up an excellent part of a growth or aggressive growth portfolio.

Next to consider are solar cell, or photovoltaic cell, technologies. These are to be found implemented in pocket calculators, private property lights, US Coast Guard buoys, and other areas. More and more they find their way onto the roofs of housing and commercial buildings and building complexes. Cost is falling. Their energy efficiency (the ratio of the amount of work needed to cause their energy production versus the actual energy production) is steadily on the rise. As an example, the conversion efficiency of silicon cells has increased from a mere four percent in 1982 to over 20% for the latest technologies. Photovoltaic cells create absolute zero pollution as they are generating electrical power. However, photovoltaic cellls are not presently as cost effective as “utility produced” electricity. “PV” cells are not [capable at present for producing industrial-production amounts of electricity due to their present constraints on space. However, areas where photovoltaic cell arrays could be implemented are increasingly available. In sum, costs are going down while efficiency is rising for this alternative fuel technology.

Many alternative energy investment portfolio advisors are confident that alternative energies derived from currents, tidal movement, and temperature differentials are poised to become a new and predominant form of clean energy. The French are actually fairly advanced at hydro power generation, and numerous studies are being made in Scotland and the US along these sames lines. Some concerns  center around the problems with the deterioration of metals in salt water, marine growth such as barnacles, and violent storms which have all been disruptions to energy production in the past. However, these problems for the most part seem to be cured through the use of different, better materials. Ocean-produced energy has a huge advantage because the timing of ocean currents and waves are well understood and reliable.

Investments in hydro-electric technology have grown in the last two decades. Hydro-electric power is clean; however, it's also limited by geography. While already prominent as power generation, the large, older dams have had problems with disturbing marine life. Improvements have been made on those dams in order to protect marine life, but these improvements have been expensive. Consequently, more attention is now being paid to low-impact "run-of-the-river" hydro-power plants, which do not have these ecological problems.

The reality is, the energy future is green, and investors would do well to put their money out wisely, with that advice in their minds.

Investment into Alternative Energy Research and Development

The US government must continue to back the expansion of the role of alternative energy research and development and its implementation by companies and homeowners. Although this writer believes in the reign of the free market and that “that government is best which governs least”, our current system has companies and people expecting federal backing of major initiative with direct investment, in the form of tax breaks, rebate incentives, and even direct central bank investment into the alternative energy industry.

The US and its citizenry need to invest all of the time and energy that they can spare to the conversion from a fossil fuel burning society to one that is green for several different reasons. The green economy will not harm the environment or the quality of our air like fossil fuel burning does. We can become the energy independent nation that we need to be by cutting away our need to import oil, especially oil that is produced by anti-American nations such as Iran.  Ultimately, renewable energies and extremely efficient energies like atomic energy are far less expensive than the continuous mining and drilling for fossil fuels.  If we do not invest in our future now, catastrophe awaits us. We are going to need to consume more energy than ever in our history as we sail into the 21st century and beyond—our dependency on foreigners for meeting these energy needs only leaves us open to sabotage while draining our coffers in order to fill other nations'.

It can be argued that federal, state, and local governments should work in conjunction on the issue of alternative energy research and development and implement mandatory programs for new home construction and all home remodeling that stipulate the installation of alternative energy power sources—eventually over a certain period of years transforming into 100% installation of alternative energy sources for any new home or corporate building—as well as backing a similar program to have all new vehicles produced in the nation be hybrid vehicles or hydrogen fuel cell powered vehicles by the year 2020. All levels of government could also impose mandatory compliance laws on construction and utilities companies. The utility companies in all 50 states should be required to invest in alternative energy research and development while also being required to buy back, at fair rates, excess energy produced by homeowners through their use of alternative energy power sources. Strong financial incentives need to be in place for new companies to invest in developing renewable energies. This would not only make the US energy independent at the fastest possible rate, but it would stimulate the growth of the economy and provide tens of thousands of new, good-paying jobs for people.

Alternative energy generation in the forms of solar, wind, hydroelectric, biofuel, geothermal, and atomic; alternative energy storage systems such as more efficient batteris and hydrogen fuel cells; and alternative energy-furthering infrastructures with superior energy efficiency all need to be brought into the affordable price range through development. Government investment into these matters would surely help us along.

What is Alternative Energy

There is a lot of energy that we can  harness if we only seek to research and develop the technologies needed to do so. We can get away from the fossil fuels and the old electrical grids by turning to alternatives to these energy sources.

One of these alternative energy resources is wind power. Wind turbines continue to be developed that are progressively more energy efficient and less costly. “Wind farms” have been springing up in many nations, and they have even become more strategically placed over time so that they are not jeopardizing birds as former wind turbines did.

Another alternative energy resource is the one that is most well known: solar energy. This involves the manufacturing of solar cells which gather and focus the energy given off directly by the sun, and translate it into electricity or, in some cases, hot water. As with wind energy, solar energy creates absolutely zero pollution.

Ocean wave energy is alternative energy seen by governments and investors as having enormous energy generating potential. A generator in France has been in operation for many years now and is considered to be a great success, and the Irish and Scots are running experimental facilities.

Hydroelectric power has been with us for a while and where it is set up, it is a powerful generator of electricity and cleaner than a grid. However, there are certain limitations to the availability of the right places to set up a large dam. Many run-of-the-river, or small and localized, hydroelectric generators have been set up in recent times due to this limitation.

Geothermal energy is extremely abundant, since it lies directly beneath our feet, just a few miles below the earth's surface. This energy is produced by the heating of water through the actions of earth's fantastically hot molten core. The water turns to steam, which can be harnessed and used to drive turbine engines which in turn generate electricity. Great amounts of research and development should be put into geothermal energy tapping.

Waste gas energies, which are essentially methane, reverse the usual energy-pollution relationship by creating energy from waste that lies in the dumps and from some air pollutants. This gas is used in fuel cells and can be used in standard gasoline generators.

Ethanol is a gasoline substitute and is created from such things as wheat, sugarcane, grapes, strawberries, corn, and even wood chips and wood cellulose. There is controversy over this fuel with regards to its ever becoming truly economical or practical except in very localized areas, but technologies for its extraction and admixture are continuously being refined.

Biodiesel energy is alternative energy created out of the oils contained in plants. So far, the commercial stores of biodiesel have been created using soybean, rapeseed, and sunflower oils. At the time of this writing, biodiesel is typically produced by entrepreneurial minded individuals or those who want to experiment with alternative energy, but commercial interest from companies is on the rise. It burns much cleaner than oil-based diesel.

Atomic energy is created in atomic energy plants using the process of nuclear fission. This energy is extremely efficient and can generate huge amounts of power. There is concern from some people about what to do with the relatively small amount of waste product atomic energy gives off, since it is radioactive and takes hundreds of years to decay into harmlessness.