Often when we talk about the Chinese economy we think of a production system closely linked to highly polluting industries based on the consumption of coal. In fact, one can frequently see images of major Chinese cities covered in smog.
But the reality is not so dramatic, or at least it’s not so dramatic anymore. China has decided to abandon its dependence on coal and wants to boost its economy with renewable energies.
The investments leave no doubt, in China investments to the tune of 360,000 million dollars are planned for 2020 in clean energy, which does not give a truce to an industrial system anchored in coal. The renewable energy figures that China manages are hard to match by other countries.
In 2020, 15% of the energy you consume will come from clean energy. So far, 13 million jobs have been created thanks to the development of renewable energies. In the 205th, China wants to produce more than 85% of its electricity from renewable sources.
The world’s largest floating solar power plant was built in China. In a lake formed after the exploitation of fossil resources, solar panels have been placed which, thanks to water, are more efficient in producing energy, reaching a capacity of 40 MW.
The race for renewable energies.
The Chinese bet is decisive and very important. As you know, when China sets long-term goals, it often ends up achieving them sooner than expected. Today, it is already the leading producer of solar and wind energy. In addition, having the raw materials to manufacture, for example, solar panels, the cost of installations is significantly lower than in any other part of the world.
The methods of producing clean electricity, in addition to the conventional hydroelectric plant, historically used and of great impact from an environmental, wind and solar point of view, include geothermal energy and biomass. In these last two types of renewable energies, China has a large margin of progress, the Asian giant produces around 660 MW of geothermal energy against 3,500 MW in the United States.
China is also a major investor CCS, capture and storage of CO2, with which it aims to reduce its alarming atmospheric pollution.
China is the most populous country in the world, with nearly 1400 million inhabitants, it is booming, it has not yet developed a large consumer society, even if today it is already a big devourer. of resources, so the challenge of renewables is an objective that will require great efforts.
How to invest in renewable energies?
Such a rapid and flourishing development situation can lead to profit opportunities for investors. In fact, many experts recommend investing particularly in Asian renewables.
In Europe, in fact, the situation of the renewable energy sector is going through a certain period of stagnation without major changes, neither positive nor negative. For this reason, the most interesting financial products are linked to the development of Asia.
Recently, ETFs (Exchange Traded Funds) have appeared on European markets, listed investment funds that collect part of Chinese assets that invest effectively in renewable energies, since they generally belong to category A.
The purchase of Chinese equities has seen some development in recent years even for non-Chinese investors. However, it is clear that there are still resistances and obstacles that Europeans, for example, must overcome in order to work directly with Chinese equities. In addition, this type of investment can be risky due to the volatility of this type of equity securities.
The uncertainties surrounding possible changes in the Chinese currency should not be underestimated, which could significantly reduce potential profits.
Therefore, many investors are interested in more complex financial products like ETFs and mutual funds.
A better opportunity to make money through the green economy is without a doubt the use of online commerce. By investing in various indices and ETFs linked to assets linked to the production, distribution and sale of clean energy, it is possible to obtain significant returns.
How to invest online in the green economy?
It is important to operate online safely and without the risk of scams or unpleasant situations.
First of all you need to find one online trading platform licensed and regulated, having customers from many countries in the European Union and the United States.
Once you have found the Exchange platform appropriate, you just need to identify the most interesting assets. In addition to government bonds and Forex, which is a currency swap and therefore not tied to renewables, you can invest in ETFs and indices.
You can trade for free on all financial markets. Moreover, a free demo account is also available with which you can experiment and improve your knowledge of the platform before you start investing with real money.