There has never been more focus on climate change than in recent years. Renewable energy systems like high-efficiency solar panels and wind energy have become a point of discussion for many.
More specifically, energy microgeneration has evolved from theory to practical mass use. The idea of running the world on renewable energy used to be nothing more than a fool’s dream and an idea at which many would scoff.
However, it’s safe to say that renewable energy has evolved from being the underdog to the clear champion in the energy industry. The truth is energy microgeneration is the future, and there are four compelling reasons why it’s an unstoppable force.
What Is Microgeneration?
It’s essential to understand what microgeneration is to fully appreciate why it has become the force of nature it is today. By definition, microgeneration refers to generating electricity or heat on a small scale.
Unlike industrial-sized power plants that provide energy to the grid, microgeneration refers to the energy generated by individual households, businesses and even communities. Essentially, all the homes you see lined with solar panel kits or homes with wind turbines are involved with microgeneration.
It’s also a process that increases efficiency levels and reduces distribution costs. That’s because the energy is produced on a substantially reduced scale and used where it’s produced.
There are several reasons why a homeowner, business or community might want to get involved with microgeneration. The motives range wildly. It could be to save money on energy bills or to become environmentally friendly. Others may have the goal of becoming 100 percent self-reliant with an off-grid solar system.
Regardless, microgeneration is a green energy production method. It greatly reduces the need for harmful fossil fuels and ultimately has a positive effect on the environment.
Solar Is Gaining in Popularity
It’s difficult to deny that solar energy systems have gained popularity in recent years. All the proof you need is to compare the number of households with solar panels from five years ago to today.
Although solar prices rose in 2021, they’re still a massively popular product. This could be due to the falling costs and that it requires minimal maintenance.
Renewable energy systems used to have a bad reputation. Even the slightest mention of solar panels would garner adverse reactions like a bad smell.
However, recent data shows that renewable energy is as cost-effective as fossil fuel. If anything, it shows that implementing a low-carbon economy is good for both the environment and people’s wallets.
A Decentralized Future
Some of the main drivers for solar installations are federal and local incentives. One, in particular, is the ability to sell back excess electricity to your local provider and receive a credit on your next energy bill.
However, there may be a more interesting future lined up for those involved with microgeneration. It’s a future involving a decentralized free market similar to a farmers market for electricity.
This is an entirely plausible outcome with the rapid increase and adoption of microgeneration. How great would it be if people could freely trade electricity like other goods or services?
The truth is, the energy market is old and boring. However, it’s not immune to change. If anything, the evolution in finance with decentralization has proven even age-old industries can modernize.
With more public support for decentralization, it wouldn’t be surprising to see a decentralized energy market emerge. It would be one with peer-to-peer interactions determining energy prices.
Big Money Is Investing in Microgeneration
When a large influx of Fortune 500 companies begins investing in renewable energy, you can expect it to stay for a while. Some of these companies you’d expect, like Google and Meta. However, others are more surprising, like those involved in the automotive industry like General Motors.
These large companies investing in renewable energy allow the market to expand. It allows the market to cater to microgeneration to smaller companies and individual households.
The critical point to understand is that these Fortune 500 companies don’t have to buy or invest in renewable energy. However, the fact that they are, based solely on business decisions, speaks for itself.
It only reinforces energy microgeneration’s place in the future of energy production.
Banning Internal Combustible Engines
As impossible as it sounds, the vision of the near future is one without cars with internal combustion engines on the road. Washington has proposed legislation that states by 2030, the only new car sales will be for zero-emission vehicles.
In fact, California Governor Gavin Newsom issued an executive order that bans new gas car sales by 2035. But the U.S. isn’t alone in imposing a nationwide ban on gas and diesel cars. The U.S. joins several other countries like Norway, France and the UK to drastically reduce emissions to net-zero by 2050.
You would expect large car manufacturers to push back against these bans in the past. Still, the fact they’re coming out with electric vehicles (EV), like the Ford F-150 Lightning, only further solidifies the future of renewable energy.
In fact, global automobile manufacturers are set to invest a minimum of $90 billion into producing EVs. Although it’s been a slow start, the automobile industry is showing signs of introducing an increasing number of EVs for consumers.
What’s better than low fuel prices? The ability to generate free electricity with microgeneration to power your home and vehicle.
A Renewable Future
Renewable energy is here to stay, no matter how much love there is for large, imposing diesel trucks. By 2026, renewables are set to increase the global power capacity by at least 95 percent.
Needless to say, even with rising energy prices, the shift towards a renewable future is absolute. As these energy systems continue to grow in popularity, it’ll become more common to see individual residences, businesses and communities utilizing microgeneration.