The utilization of renewable power and energy sources are going to expand nationwide, especially as President Barack Obama works to boost the amount of solar power that we use in as little as three years. Both U.S and global solar stocks and exchange traded funds (ETFs) stand to benefit.
China is making a play to boost the solar energy sector, and it could draw more than $10 billion in private funding, report Leonora Walet and Rujun Shen for Reuters. Expectations that there will soon be cash incentives have solar ETFs trading higher today.
Although 27 states (and Washington, D.C.) have a renewable energy portfolio and mandates, the Federal government is still lacking one. The implementation of one has the potential to set the country on course with a specific goal. In addition, most proponents of renewable energy believe federal tax credits for renewable energy need to be made permanent so companies have confidence concerning returns on investment in the future, reports Brian Coppa for The Examiner.
Many companies eyeing renewable energy projects are on a rush to grab public land, straining the Bureau of Land Management. The objective is to take advantage of state mandates that require utilities to obtain more power from renewable sources, along with subsidies from the Federal government, explains Stephen Power for The Wall Street Journal. It’s a balancing act that might have Obama looking for ways to keep the clean energy transition a smooth one without trampling the legacy of conservationists.
In the meantime, India has been working overtime to become a leader in solar power generation. Will they become the first hub of renewable energy to nations such as Germany, or the United States? Under the National Solar Mission, India would generate 100,000 megawatts of solar power by 2030 and 200,000 megawatts by mid-century under the plan, according to James Kantner for The New York Times.
- Market Vectors Solar Energy (KWT): up 7.8% year-to-date
- Claymore/MAC Global Solar Energy (TAN): up 13.7% year-to-date
For more stories on solar energy, visit our solar category.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.