2021 clean tech sector investment, Renewable Energy trend in korea and world !

>Now world is expecting disruptive developments in clean energy.

New year, welcoming new leadership of our planet,

New energy paradigm is rapidly coming. 

Instead of focusing on the strong power of the United States with Trump Biden has allocated a large portion of his campaign to renewable energy and sustainable growth.

In line with this, south korea government (president moon) is also focusing its policies on the related side (aka Green New Deal)

I think it is a part of the current administration's

(Direction only, detail seems to fall)

Among foreign researcher opinion and analysis materials, the strong driving led by the Korean government will help them take some initiative in the renewable energy paradigm and is considered a timely judgment.

 Because I lived the energy transition age, I thought that if I didn't have the relevant knowledge, I would turn away from the money-focusing industry.

_ I still think domestic stocks related to wind and solar power are overestimated. _

But whenever the opportunity comes, I am following related topics to catch up
 and I would like to summarize it because there is a good column that summarizes 2020 and deals with the 21 year outlook. (using lux researcher's column) 

▶ 2020 _ clean tech review

1. The year 20 was a tough year for Corona, but it also gave us an optimistic outlook to accelerate the transition to renewable energy (by IEA)

2. The main issues still exist (low productivity per $)

- But very low interest rates facilitated investment in renewable energy & clean tech sector

3. The renewable energy investment sector was the only industry that hasn't been hit in 2020 (except pharmaceutical sector related with covid-19)

- Significantly increasing installation wind and solar power, 
thus demand for ESS which linked power source to customer rebounded

( To use renewable energy effectively, efficient ESS is needed, because it needs to be stored in a situation where transmission loss is prevented and 24 hours of power generation is possible. )

4. Governments and businesses are beginning to declare low carbon, carbon decomposition
- China, Japan, Korea, 2050 Zero Carbon
- EU 2050 Zero Carbon

5. Many clean tech, electric car companies are entering the market through IPO by SPAC (To attract investment)


6. Global Clean Tech ETFs literally fly high

▶ what will happen in 2021?

1. Floating offshore wind power generators will receive great attention

2. Electric cars will get more attention (too obvious))

- Biden administration will provide many incentives to expand supply of electric vehicles. This will increase in size and reduce relative costs by realizing economies of scale.

3. Investment in renewable energy in China, Europe, and the U.S. will still be the top market.
- Solar energy-related growth is estimated to be more than 30%
- Wind power is also expected to grow by two digits

4. The growth of ESS makes it easier for developing countries to participate in development of renewable investment 

( Lack of storage and distribution systems makes renewable generation less meaningful )

5. A company that will set up a post-Tesla position will emerge in a few years.
- Interest in hydrogen economy is growing.
- Technologies for using carbon capture transitions are also of interest.

6. Covid19-induced uncertainty, but the clean tech sector is seen as promising. It could be better than 20 years. Because the future will definitely be a decarbonized society.

* Investors will take off risk and protect themselves by excluding fossil fuel stocks (traditional oil refining, shale) in their portfolio →  Not buying oil refinery

+ Recommend investing in a carbon-free company.

7. Decarbonation is good, but there is still little progress on how to deal with it after decarbonation.

8. But there is no guarantee that the economic downturn caused by Corona could be avoided as an eco-friendly sector if it begins to impact the market (always be careful)

9. The rate of clean energy generation in the U.S. depends on whether the tax deduction for solar or wind power is passed.

by bloombergtax.com

10. In China, it is the first year of the five-year plan from the 21st, so there will be visible movement

After looking back on the 20 years of investment in clean tech, I briefly summarized the article that reviewed 21 years.

Overall, the de-carbon stance is so clear that it seems to be the expected future. Therefore, I think we should invest in these companies and industries.

But what if Corona gets worse?

What would happen to the investments that went this way if the low interest rate was broken?

The question remains about.

I read the article and received a feeling that I was more interested in decarbon technology than I thought, but Korean companies have already risen a lot, so it seems that it is a value that cannot be justified by numbers, and it has passed        into the realm of emotion.

Thank you for reading!

https://investingnews.com/daily/tech-investing/cleantech-investing/cleantech-outlook/