By Dr. Tyra Oldham, LAND sds CEO, March 21, 2013
It is not unique to consider that oil countries are investing in alternative energy. Alternative energy and an oil mix creates a robust energy solution supporting growth and capacity. The relevance of Smart Planet’s “Why oil-rich countries are investing in solar” identifies the understanding that the energy plate is becoming a richer meal.
“This week, the world’s largest concentrated solar plant went into operation. Shams 1 is a massive 100-megawatt power plant in Abu Dhabi with some impressive numbers. The $750 million project produces enough energy to power 20,000 homes and stretches across an area of desert, west of the United Arab Emirates capital, the size of 285 football fields.”
“With the demand for energy rising exponentially, the region is undergoing a major transformation in how it generates electricity,” said Sultan Al Jaber, CEO of Masdar, the state-owned company behind the power plant. “In fact, the Middle East is poised for major investments in renewable energy, and Shams 1 proves the economic and environmental advantage of deploying large-scale solar projects.”
“The UAE isn’t the only oil-rich country making major investments in solar. Saudi Arabia, the world’s largest producer of oil, is investing $100 billion in solar in order to produce one-third of its energy from the resource by 2032.”
“For OPEC states, renewable energy is a long-term strategy to preserve their most precious resource. The more solar electricity sun-soaked, oil-rich nations like the United Arab Emirates can produce to power their domestic economies, the more petroleum they conserve to export.”
The approach of oil rich nations to increase energy capacity by integrating alternative energy will maintain their independence and produce opportunities to offset energy for their nation. Further, this integration can produce other revenue streams as energy is sold and/or providing offsets. The importance is for non-oil rich nations to develop alternative energy solutions to increase capacity remain competitive and sustainable.