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Renewable Energy Trends to Expect in 2021

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Green energy becomes more accessible every year because the industry continues to gain support. People want to be eco-friendly in their personal lives and support companies that use sustainable business practices. Industry experts should learn about which renewable energy trends to expect in 2021 to better understand what the future holds.
Renewable Energy Trends to Expect in 2021
Courtesy of NREL

These trends will contribute to the industry’s upcoming success. Learning more about them could drive plans to set the bar higher within major companies so the renewable energy industry continues to grow well past the year’s end.

1. Corporations Will Go Green

Five or 10 years ago, people supported companies that made green changes to their business. They bought food from retailers who cut back on plastic grocery bags and clothes from companies that stopped relying on fast fashion practices. Now they expect more, so corporations that hope for success in 2021 should attempt to broaden their sustainability efforts.

Going 100% green is a significant commitment that promises long-term change. It’s why Google pledged to become carbon-energy free by 2030 and outlined how it plans to do so. Sustainability isn’t a consumer fad. It’s becoming an expected part of everyday life.

2. Scope 3 Emissions Will Decrease

Scope 3 emissions are also known as value chain emissions. They don’t come directly from a company’s production plant or factories. Instead, they result from partnering organizations. Corporations will likely focus on these emissions to reduce their carbon footprint because they add to their environmental responsibility.

3. Geothermal Heat Will Warm Neighborhoods

Homeowners have heard about solar energy for years, but the future looks bright for industry experts working with geothermal energy. Instead of relying on more power to warm a house connected to an air source heat pump, homeowners will save money by drawing on heat from the ground.

Even in the coldest conditions, ground temperatures average around 55 degrees Fahrenheit, so there are no swings in temperature fluctuations. The constant ground heat is cost-efficient and highly effective, so homeowners will begin to invest in geothermal heat to save money and stay comfortable.

4. Innovation Will Drive Green Efforts

Ambitious sustainability targets require constant innovation. Even though most people are familiar with the idea of going green, it’s still relatively uncharted territory in terms of the needed scope. New innovative solutions will hit the market so renewable energy becomes easier for long-term goals and profitability. Expect to see greener, budget-friendly adaptations in everything from infrastructure to consumer marketing.

5. Companies Will Leverage Tax Credits

The federal government offers a 30% investment tax credit (ITC) to companies that leave fossil fuels behind and depend on solar energy. It’s a crucial part of what’s made renewable business models more accessible and widely expected from consumers.

There will likely be upcoming developments with other tax credits to encourage people to switch to green energy forms. Companies can leverage these credits to make the sustainable switch, build consumer trust and maintain a greener future for their business operations.

6. Traditional Energy Companies Will Diversify

The traditional energy industry knows its days of domineering the market are coming to an end, so it’s in their best interest to diversify. Oil, gas and electric companies will invest in biorefinery efforts and green technology to stay afloat. It could be a new major source of funding for the growing sustainability sector.

It depends on how many companies diversify in the coming year and how much they’re willing to spend. They may be interested in single investments or even partnering with green energy titans that can demonstrate a viable path forward for profitability and consumer relations.

Watch the Market

These are the renewable energy trends to expect in 2021, so watch for them closely. They’ll build up speed and begin their industry takeover, transforming the planet into a better place to live.

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