(4) Inflation-Beating FIT Program
It is one of the authentic reasons to invest in clean energy stocks. Feed-In-Tariff (FIT) program is designed to accelerate investment in green energy technology.
It acts by providing long-term contracts to producers of green energy typically on the basis of cost of generation of each technology.
Wind power is awarded a lower per-kWh price as compared to solar & tidal power which in turn is provided a higher per-kWh price. Developers of green energy projects are receiving more revenues for energy they are producing.
Energy prices are included in retail price index (RPI) so as the rate of inflation increase so is the energy prices due to increase in index-linked FIT. Thus, you can get higher return on your green energy investments.
(5) Impact On Local Communities
It is one of the good reasons to invest in renewable energy stocks. Clean energy investments are providing positive impact on local communities.
Local communities will be entitled to get cheaper energy from local renewable projects. They will also be entitled for discounts on energy bills due to the implementation of government energy schemes.
You can invest in solar panels for installation on your home & office buildings. It will help you to lower your energy bills as well as creating new local jobs in your community.
- Renewable Energy Project: Shutterstock