Global energy Demand - Can Microfinance help?

[doob...@gmail.com]

Global renewable energy markets have grown tremendously in the past
decade.
MORE people should realize that some forms of renewable energy can be
a big business.

Annual investment in renewable energy [1995], $6 billion
Annual investment in renewable energy [2002]- $17 billion

Cumulative investment in renewable energy [1995-2002] - $80 billion

Factors which fueled the growth:

1. supportive national and local policies,
2. Aggressive technology improvements
3. Cost reductions,
4. Better market information,
5. Growing awareness of global climate change
6. Local environmental concerns
7. Rural development needs

Current installed renewable energy capacity-100 gigawatts (GW)
[ 3% of global installed power generation capacity 2002].

Cateogorization of renewable energy markets (Martinot et al 2002):

1. Rural residential and community lighting, television, radio and
telephony.
2. Rural small industry, agriculture and other productive uses. .
3. Grid-based power generation.
4. Residential and commercial cooking and hot water.
5. Transport fuels.

Market Capacity:

Roughly 400 million households [40% of the population of developing
countries] without access to electricity.
Over 40% of automotive vehicle fuel used in Brazil in 2000 was ethanol-
a liquid fuel
derived from biomass (sugarcane in Brazil).

Source: Global Renewable Energy Markets and Policies
Eric Martinot1, University of Maryland, School of Public Affairs,
College Park, MD, USA