Energy Saving & Climate Business A $2 Trillion Industry By 2020: HSBC

Posted on 21. Sep, 2009 by Ross in Energy News

Looking at getting into a green business opportunity? The timing couldn’t be better, with revenues for energy efficiency and related green business products blowing other markets out of the water!

In 2008, climate change-related business sectors worldwide grew 75% to $530 billion. By 2020, energy efficiency and other such businesses are projected to be worth $2 trillion.

That’s the conclusion of a new report from global banking giant HSBC (which knows a thing or two about investment, since it is one of the world’s banks least affected by the ongoing financial crisis). It found that the climate change sector has already surpassed the size of the global aerospace or defence industry, with the US, Japan, France, Germany and Spain accounting for 76% of global climate revenues.

In the 2006 Stern Review on the economics of climate change, climate-related revenues were forecast to climb to $500 billion by 2050. That figure has already been smashed 41 years ahead of schedule, as businesses have taken the opportunity to adapt their business models far more swiftly than individuals and governments have done, and far more readily than most analysts expected.

HSBC are themselves one of an ever-growing number of companies who are pursuing energy efficiency aggressively as a way of cutting costs and defending profits. They were the 100th company to be awarded the Carbon Trust Standard earlier this year. The Carbon Trust is a UK government-backed company which helps businesses find opportunities to cut their carbon emissions, and the Carbon Trust Standard is a sign to strong achievement in those efforts.

The four core investment pillars will be low-carbon (renewable) energy production, energy efficiency, water control and waste/pollution/climate finance, the report suggested. Energy efficiency recorded the highest investment returns in the year to date at 30%, followed by carbon finance at 24%. With increasing energy prices due to increased demand on both electricity and fuels, along with increased renewable energy adding to the mean cost, energy efficiency will only continue to drive returns on investment upwards. HSBC analysts said:

This is a very significant trend given the substantial share of climate stimulus funds that have been directed at energy efficiency and energy management by governments across the globe.

Looking for a green business opportunity? Why not consider becoming a Distributor of energy-efficient technologies! Somar International Ltd has a range of energy-saving devices - from low-energy lighting to energy-saving motor controllers - which it sells and installs directly in the UK but it is looking for business people to distribute it’s fantastic products across the globe, since local people understand their national markets far better than foreign corporations.

You should find out more about the exciting business opportunity which Somar International is offering by clicking here.