Balance of polluting and renewable energies has already reached a critical point. According to an analysis conducted by GreenBiz.com, the balance seems to break in favor of the renewable energies, a situation which is encouraged by the policies adopted by the states and the banking sector globally.
The prices are droping
The cost of renewable energy falls visible from year to year, and the situation is likely to continue in the coming years. The cost of energy produced by photovoltaic plants in Germany, Italy and Spain managed to enter into direct competition with that of conventional energy. Also, the construction of wind farms has achieved parity with the most expensive cost coal power plants in Europe. According to Citi Research, "costs for solar and wind energy are declining rapidly, with rates of 30 % for the solar and 7.4 % for the wind."
Governments of big economic powers adopt policies to support
This year China marked a world premiere. Coal consumption in the country decreased by a few percent for the first time in the last 100 years. Despite this, the Chinese economy has maintained growth of over 7%, proving that healthy economic growth does not depend on the amount of oil or coal burned.
Also, India, another state recognized for the amount of CO2 emissions, decided to financially support the development of renewable energies in the last quarter the attracted photovoltaic projects financing were over five times higher than coal energy projects.
The banks are redirecting the fundings
UBS, the largest Swiss bank, said that large power plants projects, of coal or gas, will become irrelevant in the future and Citigroup joined those who declares the early era of renewable energies. Last month, Mark Carney, Governor of the Bank of England, said that if we really want to prevent dangerous climate change then there would be no use as an energy source fossil fuel. Also, two weeks ago, the World Bank announced thet it would no longer invest in coal projects, unless it is a case of "extreme need".