If we analyze the profitability of investment in renewable energy choosing systems, there are three factors available for analyzing the issue. These three factors are 1. Heat pump, solar collectors, and photovoltaic panels. 2. Biomass boiler, solar collectors, and photovoltaic panels 3. Heat pump, wind turbine, and solar collectors. After choosing the appropriate equipment, the investment and operational costs are calculated.
These three factors carry a high cost. The profitability of investment depends on a technical solution that is adopted. Due to taking the huge cost of investment at the initial step, investors are reluctant to set up and purchase renewable energy generation. If the government provides subsidies, the investors can lower their investment cost for setting up a renewable energy generation system.
An in-depth analysis of the profitability of investment in renewable energy:
The world is changing gradually. Similarly, the demand for green energy increases over the world. Tidal energy, solar power energy, wind power, geothermal energy are quite expensive in terms of installation. Investors can earn a profit a long time after the installation of the generating system. It can be said that it is difficult to earn profit with green energy for the investors. Green energy generates more energy at a minimal cost. Generating green energy is not only beneficial for the environment but also beneficial for the businessman. Renewable energy makes a great impact on the energy sector. Over the world, heating, cooling, and transport completely rely on fossil fuels. Which are subsidized in many countries. Renewable energy is used for various purposes. It can be used for meeting the demand of building, industry and bioenergy, solar thermal, geothermal heat. The slow growth of renewable energy in heating, cooling throws a challenge by addressing these sectors making decarbonisation.
The future roadmap of renewable energy sources:
It can be said that the future perspective business of renewable energy is quite bright. The investment in renewable energy delivers a better return compared to fossil fuels. Despite this, the total investment is not sufficient for mitigating the problem of climate change. The stock of green energy is not volatile like the source of fossil fuels. During the period of covid -19, the countries faced a lot of difficulties to make the project of oil and gas in the turmoil situation over the world. The key profitability of investment in renewable is to make some installation. After some time, when people start to rely on renewable energy sources, automatically the companies start to make a profit on a large scale.