People have been purchasing and trading fuel stocks for decades. This has become common practice, not only for experienced traders, but also for newcomers who know that the price on fossil fuels will continue to rise. However, with the global concern rising in regards to these fossil fuels, a relatively new addition to the market is that of renewable energy stocks. While renewable energy is by no means a new idea, the technologies that are being used are in research stages for many of them. As a result now is the best time to purchase renewable energy shares because the prices are low and are said to soon take off. For further evidence of this, the Energy Information Administration is predicting the US energy consumption to almost double between now and 2032.
Markets for Renewable Energy
Solar Energy: Solar energy is the oldest known renewable energy. Its effects have been known since the dawn of time and without the energy produced by the sun, there would not be life on earth. Companies like First Solar (FSLR) and Ascent Solar Technologies (ASTI) have made ground breaking developments in the use of solar modules and should be targeted in the market.
Natural Gas: Natural gas is in plentiful supply and is being used by the government to supply fuel to a large number of vehicles. The price of the fuel is also quite low compared to other fuel means, with Cleaner Energy (CLNE) considered to be the leading supplier.
Bio Fuel: Biofuel is a leading concept and one that is gaining a lot of attention worldwide. It makes use of algae and waste materials and is showing promising results. Although the performance of this fuel in vehicles has been questioned, there are many companies that are working to improve the efficiency and efficacy. Due to the large number of players in this field, perform adequate research prior to purchasing shares.
Wind Energy: Although wind farms are not considered to be the prettiest site, they are one of the most efficient means to gain clean electricity. Considering this, there are many companies such as General Electric (GE) which supplies parts to wind companies that would be good for investing in. A note to consider is that wind energy companies are quite small and will be as profitable as other renewable energy producers.
Why Choose Renewable Energy Stocks
Green business owners are essentially making use of the world´s first energy source, the sun. Why not protect America and help them to rebuild while earning stock income simultaneously? America is proposed by the Scientific American magazine to provide 69% of its own electricity, where 35% of the total energy will be pulled from the sun by 2050. Technology in solar energy is moving rapidly, and so will the stocks. Once the renewable energy stocks hit mainstream, the stocks will be a lot more costly. This is a great time to invest, because companies such as Google and Walmart will also be a part of the renewable energy plans. Other sources vary and are equally as effective if utilized correctly. Biomass for example is a young concept but one that is fast gaining credibility in the renewable energy sector.
In addition to the actual renewable energy companies who are current participants in the stock market; there are the many manufacturers that also play a key role. By performing research and selecting companies that are fast becoming leaders in their chosen specialty, it is possible to get on the band wagon early so to speak and purchase shares that will grow to a respectable price in the following years. At the moment it should be Americas number one goal to establish energy production from various types of renewable energy. The current recession of 2009 has lead to the necessity to cut down on the everyday cost of living while simultaneously opening job markets in new areas. Renewable energy can perform this task well.
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