Could the high cost of renewable energy compared to coal or natural gas hamper the sector’s growth?
EG: Yes, it’s undeniable that coal and natural gas are cheaper than wind or solar power. Is this a long-term trend? Historically, natural gas prices have been quite volatile. However, we do believe that natural gas prices are currently at a particular low point but in the next three-to-five years could trade north of $6. Also, it is important to note that the cost of solar power, for example, has fallen dramatically over the past couple of years, partly because of cheap PV production from China and better technology that have helped make solar generation a more efficient and cheaper proposition. We believe that by 2013 there will be price-parity between solar and traditional energy. So, overall the combination of rising gas prices, over the medium-to-long term and falling solar or wind power prices, will make the renewable energy sector an attractive investment opportunity. What could hopefully come out of the BP spill is additional funding for the renewable energy industry as Washingt
EG: Yes, it’s undeniable that coal and natural gas are cheaper than wind or solar power. Is this a long-term trend? Historically, natural gas prices have been quite volatile. However, we do believe that natural gas prices are currently at a particular low point but in the next three-to-five years could trade north of $6. Also, it is important to note that the cost of solar power, for example, has fallen dramatically over the past couple of years, partly because of cheap PV production from China and better technology that have helped make solar generation a more efficient and cheaper proposition. We believe that by 2013 there will be price-parity between solar and traditional energy. So, overall the combination of rising gas prices, over the medium-to-long term and falling solar or wind power prices, will make the renewable energy sector an attractive investment opportunity.What could hopefully come out of the BP spill is additional funding for the renewable energy industry as Washingto
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