Many people view renewables as a challenge to business and industry because they require structural changes in the economy and society. This perception has permeated across sectors even though an increasing population sees renewable energy as a blessing in disguise that provides development opportunities. The following are some of the socio-economic impacts of renewable energy on sustainable development;
Reduce Poverty Through Better Incomes
With the world’s rising population, sustainable development is key to ensuring that people are not left behind in this fast-paced world. Renewable energy can help reduce poverty by providing reliable sources of income. For example, solar power panels could be installed on homes, allowing residents to generate their electricity and sell it back to the main grid, thus earning much-needed money for sustenance.
Development Of Local Economies
Oil and gas exploration is very capital intensive, which means that exploration can only occur in industrialized countries. This explains why most of these resources are found in developed nations, with developing countries having minimal oil and gas exploration capacity. The use of renewables helps create a more level playing field because investors do not need to have deep pockets before embarking on renewable energy projects, unlike other forms of energy production, making it accessible to less developed countries. Solar panels could be installed on roofs, allowing owners to produce their power to sell back to the national grid. Generally, this type of arrangement is not capital intensive and doesn’t require much to set up, even a small renewable energy project which can serve as a starting point for growth in local communities.
Increase Economic Competitiveness
The economy is driving much of the world’s activities, especially at local levels. Countries with high levels of economic growth are likely to exert their influence around the world, making them major players in the international arena. Renewable energy increases countries’ economic competitiveness by cheaper reliable power sources than traditional energy sources. This will give them an edge over other localities which cannot produce their clean power, thus making these countries reliant on imported oil and coal from established producers for power generation. Economies of scale could also be achieved because large power grids can buy produce renewable electricity at a lower cost, helping them cut operational costs.
Reduce Environmental Pollution
Many authorities have maintained that climate change is real and has serious negative implications for future generations if nothing concrete is done now. The burning of fossil fuels such as coal and oil emits greenhouse gases, vital in determining global temperature. These gases cause global warming, increasing sea levels, and erratic rainfall patterns leading to droughts and floods. Incorporating renewables by different renewable energy providers such as Verde Energy reduces environmental pollution by eliminating greenhouse gases from the atmosphere, thus ensuring that the environment is not compromised because of power generation activities.
Reduce Dependency on Foreign Sources
Individuals are increasingly aware of emerging technologies, leading to great strides in understanding how they work. This has enabled many countries to break free from dependence on traditional energy sources such as oil. Developing countries are increasingly moving towards cleaner forms of energy production since they offer an opportunity to produce renewable energy independently without depending on established producers. Renewable energy provides an opportunity for countries to become self-sufficient in their energy needs while also contributing to global efforts to mitigate climate change.
Create Jobs and Promote Economic Development
The widespread use of renewables can create millions of jobs worldwide. This is because the installation, operation, and maintenance of renewable energy systems require manpower. Furthermore, renewables offer vast investment opportunities, which could lead to significant economic development in many countries struggling with high levels of unemployment.
Renewable energy sources offer many advantages for sustainable development. They help to reduce environmental pollution, create jobs and promote economic development. Additionally, they increase countries’ economic competitiveness and reduce their dependency on foreign energy sources. Renewables are thus an important tool for achieving global sustainability goals.