This post intends to explain the fundamental analysis of why an ETF like TAN is a great investment for the future.
First we start to produce energy with wood, followed with coal that has great energy density but produces lots of pollutants, then we started to use oil, and since then we have become addicted to oil, but this addiction is not sustainable for the future.
We are about to reach Peak Oil in the coming years. Oil will become more expensive and we will need another source of energy to move our global economy, but also protect our planet while doing so, and solar energy can do this. Not nuclear, not eolic, not hydrogen fuel, but solar energy.
Nuclear power while very efficient and "clean", is risky, and nuclear waste if not handled correctly can do a lot of damage. Fukushima Power Plant is an example.
Eolic energy is a good alternative, but winds are not constant and this makes electricity production intermittent. Definitely we will complement our energy consumption in the future with eolic energy, but in a small percentage.
Hydrogen fuel, is a terrible thing to have to store and transport. Swapping petroleum for hydrogen would require pressurized fuel tanks, tankers and gas stations and all the incumbent costs, engineering and safety issues, definitely not the fuel of the future.
Then there is Solar energy.
It's an astonishing fact that capturing all the energy in just one hour's worth of sunlight would enable us to meet the planet's food and energy needs for an entire year. The solar revolution is coming. Solar is now the cheapest form of electricity.
The chart does not matter.
Solar is the future.
"The currency of the world is not the dollar, it's the Joule"
-Nathan Lewis
First we start to produce energy with wood, followed with coal that has great energy density but produces lots of pollutants, then we started to use oil, and since then we have become addicted to oil, but this addiction is not sustainable for the future.
We are about to reach Peak Oil in the coming years. Oil will become more expensive and we will need another source of energy to move our global economy, but also protect our planet while doing so, and solar energy can do this. Not nuclear, not eolic, not hydrogen fuel, but solar energy.
Nuclear power while very efficient and "clean", is risky, and nuclear waste if not handled correctly can do a lot of damage. Fukushima Power Plant is an example.
Eolic energy is a good alternative, but winds are not constant and this makes electricity production intermittent. Definitely we will complement our energy consumption in the future with eolic energy, but in a small percentage.
Hydrogen fuel, is a terrible thing to have to store and transport. Swapping petroleum for hydrogen would require pressurized fuel tanks, tankers and gas stations and all the incumbent costs, engineering and safety issues, definitely not the fuel of the future.
Then there is Solar energy.
It's an astonishing fact that capturing all the energy in just one hour's worth of sunlight would enable us to meet the planet's food and energy needs for an entire year. The solar revolution is coming. Solar is now the cheapest form of electricity.
The chart does not matter.
Solar is the future.
"The currency of the world is not the dollar, it's the Joule"
-Nathan Lewis