- 7th July 2021
Written by Devansh Agarwal
Available and inexpensive energy has fueled remarkable industrialization and development in emerging nations, but as demand for nonrenewable energy sources grows, these sources are nearing their limitations. Furthermore, the recent evidence that global warming is caused by a rise in greenhouse gases in the atmosphere, along with the unequal worldwide distribution of energy sources, necessitates immediate and severe adjustments in the way we create and distribute energy. To deal with these fast changes, we must create innovative ways for regulating the price of carbon emissions, lowering the costs of generating energy from renewable sources, and developing cleaner, cheaper, and scalable energy production and storage technologies. To guarantee long-term sustainability, these technologies must rely on earth-abundant and recyclable materials that are chosen based on their whole life-cycle effect, as well as clean and inexpensive methods.
This approach should be extended to other technologies as well, such as nuclear energy, carbon capture and storage, and biofuels. This insight aims to focus on what materials-based solutions may provide and demonstrate how rational design and material property enhancement can lead to energy alternatives that can compete with present technologies. In terms of alternative energy generation, major fundamental and practical advancements in the realization of solar cells have a high rate of energy conversion.
Many challenges remain, and researchers are working hard to address them by developing better materials and technologies. However, this is not a path that scientists should take alone; the influence that better energy management may have on global warming and human health is enormous, and policymakers must pay close attention to it. The recent Paris climate accord illustrates that efforts to secure both economic growth and climate preservation may be effective if coordinated worldwide. However, such long-term assistance must be continued internationally, since the issue is not just to protect our environment, but also to rescue our planet. Therefore there we introduced the concept of Green bonds.
A green bond is a form of fixed-income instrument that is specially designed to raise funds for climate and environmental projects. These bonds are generally asset-linked and backed by the issuing entity's balance sheet. In 2015, Yes Bank issued the first green bond in India to finance renewable and clean energy projects, primarily wind and solar.
Green bonds are designated to foster sustainability and fund climate-related or other sorts of specific environmental projects. Green bonds, in particular, fund initiatives aiming at energy efficiency, pollution avoidance, sustainable agriculture, fisheries, and forestry, aquatic and terrestrial ecosystem conservation, clean transportation, clean water, and sustainable viability of water management. They also fund the development of ecologically friendly technology as well as the mitigation of climate change.
With the increased penetration of renewable energy in the energy mix, the Indian energy industry is changing. With a potential capacity of over 1000 GW, India's renewable energy sector is a major market for worldwide investors. With an ambitious aim of 450 GW by 2030, India offers an annual investment opportunity of more than $30 billion. In just five years, India has positioned itself as a worldwide leader in renewable energy. India has the fifth-largest installed capacity in the world, with 87 GW, followed by the fourth-largest for wind and the fifth-largest for solar.
Green Bonds boost the issuer's image and demonstrate its commitment to long-term growth. They generally have cheaper interest rates than loans provided by conventional banks. Foreign investors are increasingly focusing on green projects, which may assist to reduce the cost of acquiring cash. They have been critical in expanding funding to emerging industries such as renewable energy, therefore contributing to long-term growth.
State Bank of India entered the green market in 2018 with a certified climate bond worth $650 million. According to the Economic Survey 2019-20, India surpassed China to become the world's second-largest Green Bond market in the first half of 2019, with $10.3 billion in transactions. Adani Green Energy UP Ltd, IRFC Ltd, Parampujya Solar Energy Pvt Ltd, Prayatna Developers Pvt. Ltd., and ReNew Wind Energy Delhi Private Limited are among the firms whose green bonds are listed in the IFSC.
The provision of energy in such a way that it satisfies current demands without jeopardizing future generations' capacity to satisfy their own is known as sustainable energy. This means that sustainable energy is electricity that can be supplied during a human life while causing no long-term environmental impact. Hydroelectricity, biomass, geothermal, wind, wave, tidal, and solar energy are all examples of sustainable energy.
Sustainable energy supplies must be economically feasible, politically backed, socially equitable, and ecologically acceptable, as all four legs - economic, political, social, and environmental—must be regarded equally essential. A balanced mix of energy security, economic development, and environmental protection is required for sustainable energy. Energy systems are covered, and they are built on three main dimensions: energy security, social fairness, and environmental impact mitigation. Incorporating renewable energy into the existing energy mix would be a significant part of this, but it does not eliminate the need for fossil fuels.
Governments, civil officials, and the general public are increasingly reconsidering how we generate energy, to preserve and restore vital freshwater resources. Dam removals are on the rise across North America and Europe, while efforts to conserve rivers permanently are spreading across Latin America, Asia, and Africa. The COVID-19 crisis must be used to push the trend forward. The globe needs a new economic recovery paradigm based on climate and economic justice and river management. Rivers that are connected to watershed forests, floodplains, wetlands, and deltas are critical partners in the battle against climate change. However, if we allow the hydropower industry’s push for stimulus funds to succeed, we will just be repeating the 20th century’s legacy of misery and environmental damage. When it comes to our ideals, we need to put our money where our lips are. Twenty years ago, the WCD set the way for a development model that incorporates humans, animals, and the environment, and we will see that vision come to fruition along the Klamath River in 2020. It's past time to bring that promise of regeneration and healing to many more rivers throughout the world.
Sources: News Agencies