Published On: October 26th, 2022
Fossil fuels burned for energy have significant implications for the global climate and human health. The Intergovernmental Panel on Climate Change (IPCC) estimated that emissions from fossil fuels are the dominant cause of global warming. It was reported that 89% of global CO2 emissions came from fossil fuels and industry in 2018.To reduce CO2 emissions and air pollution, the world is rapidly taking measures to shift towards low-carbon sources of energy, especially renewable or green energy. Keep reading to know the top green energy stocks in Australia worth investing in.
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What is Green Energy?Green energy, often called clean, sustainable, or renewable energy, is energy derived from natural sources like water, wind, and sun. Green energy production doesn’t release toxic greenhouse gases into the atmosphere and causes little or no environmental impact, unlike conventional forms of energy. Familiar green energy sources include,
- Solar Energy: Harnessing radiant light and heat from the sun using a range of technologies, such as solar power, to generate electricity.
- Wind Energy: Harnessing the kinetic energy of moving air using large wind turbines.
- Hydropower: Harnessing the power of moving water, such as water flowing over a waterfall, to generate electricity.
- Geothermal Energy: Capturing and harnessing the heat within the Earth’s core.
Investing in Green Energy StocksAs the world moves towards cleaner energy production and decarbonization, green energy companies developing alternative technologies to replace fossil fuels have ample room for growth. The global renewable energy market is projected to reach $1,977.6 billion by 2030, growing at a CAGR of 8.4% from 2021 to 2030.
And 29% of Australia’s total electricity generation was from renewable energy sources: solar (12%), wind (10%), and hydro (6%) in 2021. So, through sustainable energy investments, you put money towards companies focused on renewable energy sources, which is the future of energy. Also Read: Top 3 Rare Earth Stocks in Australia to invest in Considering Market Growth in 2022Take a look at these advanced green energy stocks in Australia to invest in for the year 2023.