The future of renewable energy infrastructure
A global electric grid operates on the principle that “it’s always sunny somewhere”.
Rather than having to store electricity in order to use it when there’s no generation occurring because of bad conditions, power can be drawn from other parts of the world which do have good conditions and are producing an abundance of electricity.
As a simple analogy, if it’s night time in New York and therefore isn’t able to generate solar power, the city can draw power from Singapore (where it is day time and is currently generating solar).
I know this would be a success when any home in countries like India is able to easily set up a solar panel to not only light up their community sustainably possibly for the first time, but even more so to generate extra income by selling a resource they have in heap abundance.
As we inch closer to not only running out of oil but also losing out environment due to global warming, it becomes more pertinent than ever to find solutions with alternative energy sources.
We have also seen how, recently with the Ukraine invasion by Russia, political events can send gas prices sky rocketing across the world, affecting billions of people at once.
Major economies and governments like the US are not incentivized to run a project like this because it requires massive capital and they won’t get support to use tax dollars to fund it.
Existing energy corporations won’t embark on this because, similarly, the capital required would post a huge risk to derailing their existing business.
Therefore, a young, determined startup needs to step up and take charge to lead this project.
Potentially make initial installation free and have a high take rate % on sale of electricity. Take rate can reduce over time to offload more responsibility onto owner to upgrade their own infrastructure.