The Best Business Ideas for the Renewable Energy Industry
This article will inspires you to start your own green business, taking your economic fate into your own hands and creating positive change in the marketplace as well.
Way back in 1931, in conversation with Henry Ford and Harvey Firestone, Thomas Edison quoted
“I’d put my money on the sun and solar energy, what a source of power. I hope we don’t have to wait until oil and coal run out, before we tackle that”
Starting a business in renewable energy can be an exciting and rewarding experience. It offers numerous advantages apart from being your own boss. And let me clarify, it doesn’t mean you have to build your own solar farm, wind farm or a hydroelectric dam.
For budding entrepreneurs, there are numerous opportunities for implementing an innovative renewable energy solution. But is this just a fantasy? Or are these opportunities feasible for the long term?
Off course, these are long-term opportunities because --
• The consumers are concerned about sky-scraping power bills
• The investors are fascinated with the “Go Green” idea
• The Government is keen to incentivize green initiatives
• Many countries are on a quest for energy independence and security due to political instability in regions like the Middle East
Now let’s quickly run over the top 7 business ideas in the renewable energy industry.
1. Solar Panel Sales and Distribution
Clean energy investment rose to $333.5 billion in 2017, the second highest annual figure ever, driven by a surge in solar photovoltaic (PV) installations. As there is a huge gap between manufacturers and customers and this can be filled by distributors hence becoming a solar power authorized dealer/ distributor can be a profitable venture.
“Anyone can stock products and sell them,” says Geoff Stenrick, president and CEO of SimpleRay Solar. “Today’s solar distributor is a partner to the installer, providing many strategic solutions to help their customers succeed.”
You can start importing solar panels in wholesale quantities from countries where it is majorly produced like China and Hong-Kong; and sell to solar panel installers and retailers.
2. Solar Panel Installation Business
Solar photovoltaic power demand has been experiencing exponential growth worldwide making solar panel installation a most demanding service. It has been predicted that by 2050, solar installations will provide one-quarter of the world’s energy needs, and 11% of solar energy will come from panels installed on houses and office buildings. So, investing in a solar panel installation business would be a profitable venture at this time. However, to start this business, you need to undergo some form of formal training in school or informal training from professionals already in the field.
3. Solar-Powered Refrigeration System
The refrigerator which runs on electricity provided by solar energy is known as the solar refrigeration system. Compared to traditional refrigerators, these are an environmentally friendly solution. This kind of refrigeration system has a very high demand in the areas that are not connected to the power grid. So, selling refrigerators that run on solar power can be a great idea which will be widely accepted by hotels, bars, and fast food outlets.
4. Solar PoweredInverters & UPS
Frequent and long power cuts are quite frustrating and the problem becomes more severe during summers. The market is in need of a reliable solution that can act as a backup in case of grid power failure. As compared to traditional inverters solar powered inverters & UPS are independent of the power grid. Also, these do not require any kind of special maintenance. Hence, selling these will surely be a profitable business especially in hospitals, hostels, schools, and individual homes.
The next idea is for those who are not interested in sales or installation business.
5. Solar Consultancy Services
With a professional and experienced team, you can set up a firm to provide consultancy services to the solar power plant developers from project conception to project commissioning, individuals who need advice on the best renewable energy source to install in their homes or students who are just interested in pursuing a course in this industry. You can make a decent amount of money by selling your knowledge and ideas to people who are interested in the industry.
6. Energy Auditing Business
Energy Audit is a professional service that determines where your house is losing energy and wasting money and suggests solutions to decrease this energy loss. An energy auditor inspects homes or business premises and advises on the best way to optimize energy resources usually through renewable energy sources. As governments around the world now making it mandatory for businesses to undergo regular energy efficiency audits in order to get licensed, so this is the right time to get into the energy auditing business.
7. Financial Consultancy
With the exponential growth of the solar market, there is an urgent need for financing of solar projects and their long-term insurance. To maximize the benefits of solar energy, advanced technology must be matched with optimal financing and incentives. Financial consultancies help investors with the best financial model for their project and also assist them to raise the necessary funds. With strong financial relationships and deep knowledge of local tax incentives, financial consultancies also ensure that each customer receives maximum return from solar energy.
To sum up,
As Thomas Edison quoted, putting money in the renewable energy business is the safest investment. By investing in the business of renewable energy you are not only making money but contributing to the betterment of the mankind, the society, the economy, and the environment. But beware, rapidly evolving solar technology, competitive pricing market fueled by low-cost global competition, and ease of access to conventional fossil fuels like coal can make the business environment challenging.
Above all, the purpose of a business is to create a customer and the success (or failure) of a business is directly proportional to the customer satisfaction.
“Know what your customers want most and what your company does best. Focus on where those two meet.”
– Kevin Stirtz