The Greentech Wave

If you open any major newspaper on any given day you will find the signs of the Greentech Wave. Let's take today's NY Times as an example.

On the main section of the newspaper there are two advertisements, one full page each.

The first one is for Sharp Solar Systems, in which Sharp claims to be responsible for 1/4 of the solar world production. I believe six months ago this same advertisement space was used to promote Sharp's flat panel TVs!.

The other advertisement is from The Pickens Plan. This is a very famous Texas Oil Entrepreneur who established a fund with $4 billion under management and is proposing a 10 year roadmap to replace one third of foreign oil imports with local wind energy and natural gas.

Today's NY Times also has two very telling articles. It is important to note that both articles are in the Business section (not under technology, or science).

The first one is entitled "Europeans Reconsider Biofuel Goal" and talks about the disadvantages of biofuels and how this alternative may be contributing to deforestation, which speeds climate change, and helping force up food prices.

The other article talks about a "Large Solar Energy Array Set for G.M. in Spain". It announces the installation of the largest rooftop array of solar panels which will generate 12 megawatts of power.

So? you say. Why should we consider this important?.

I believe this are the signs of a major trend. This trend is reflected at several arenas.

(1) People are concerned on a personal level. A growing number of people are considering a change in their consumption habits in order to respond to the growing cost of fuels or just because they became more environmentally aware. Therefore, you have a waiting list of 3 months to buy a Toyota Prius (the most fuel efficient car in the market today).

(2) Companies are shifting their image and channeling resources to greentech. No major company is willing to risk the possibility of being left behind in this new market. Same as Sharp is boosting their solar business, GE is very concerned to stay on top of any and all developments in energy generation to keep their lead. Even the traditional oil companies are making big noise about their greentech efforts. Take BP Oil as an example, they say in their website that "BP Alternative Energy is giving the world a choice of low-carbon power solutions"

(3) Major economic players are creating their vehicles to jump into the greentech wave. Like Mr. Pickens there are other major players looking for opportunities. Sir Richard Branson the famous serial entrepreneur has launched Virgin Green Fund. If this efforts are intended to help "mother earth" or they are purely business opportunities is impossible to tell, the end result is the same: a major wave is being created.

Conclusion: I see a major change that will create a whole new industry. Like in the early stages of Internet there are several players that will be filtered out. But, overall the field is green (in both senses) and the crop is yet to be harvested. Those who jump into this trend early enough will have the better chances to profit from its energy. Finally I leave you with a cordial "Shalom"