Covid-19 didn’t just disrupt daily life for an entire year, it derailed the economy and its effects are still being navigated. Predicting trends for renewable energy is difficult even during the best of times, but there are several trends that are beginning to emerge.
Read on to learn which trends you need to keep an eye on this year. Some of them just might surprise you.
Increased Global Importance of Renewable Energy
Climate change stampeded into the forefront of the world’s attention during the lockdown as the use of fossil fuels came to a grinding halt. Governments began taking hard looks at their emissions and many sought new ways to reduce their carbon footprint.
2021 will be a year of major changes that focus on making renewable energy a priority. European countries and the United States are poised to make lasting changes. However, countries like China and much of the developing world shouldn’t be forgotten. Expect change nearly everywhere, but some countries may lag behind the rest to ensure larger countries with more emissions stick to their promises before investing.
Incorporation of Social Justice
Climate change disproportionately affects people of color and low-income communities. The prevalence of the social justice movement sent ripples through not just communities but businesses and governments to highlight the need of reform. This extends to renewable energy as well.
Companies will most likely start to develop projects in underserved communities and ensure minority-owned and women-owned businesses are more evenly represented when granting contracts. Buyers are becoming more and more concerned about how these projects will impact their communities, so expect businesses to make diversity changes for staff and contracts to make moves towards inclusivity.
Renewed Commitment to Reducing Emissions
We’ve heard about governments committing to reducing emissions, but this year more and more companies are likely to make sweeping changes on this front. Expect companies to purchase goods and services from carbon-neutral suppliers.
Businesses may also shift to procuring power purchase agreements where they can eliminate the need for using fossil fuels altogether. This would mean that instead of offsetting their use without eliminating the emissions they cause, they would reduce and possibly eliminate their need for fossil fuels except in rare circumstances.
Innovation Driven by Need for Speed
Over the past few years, renewable energy technologies have progressed at a rapid pace, but consumer demand wasn’t driving a need to progress any faster. Sustainability projects before the pandemic were set to complete by 2030 or 2050, but this year you can expect to see much more innovation due to an urgency driven by consumer demand.
As demand grows exponentially this year, companies will have to find new, innovative ways to fast-track their plans or risk falling behind their competitors. Keep an eye on large and small businesses alike to see what new technology and processes arise this year in response.