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What is green energy? Benefits of different types of green energy for business

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In the context of the world are facing serious challenges from climate change and depletion of natural resources, green energy emerged as a solutions essential for sustainable development. This is not only a global trend that is also indispensable requirement for businesses that are seeking to minimize the environmental impact, cost savings, and enhance brand value. So, what is green energy and why is it so important for businesses?

Let's Lac Viet Computing learn more about the concept, benefits and solutions applied green energy in this article.

1. The global context of the demand for green energy

Climate change has become one of the biggest challenges that humanity faces. According to the report of the united Nations, the amount of greenhouse gas emissions from industrial activities, traffic, energy production, traditional is the main cause of the increase in global temperatures, melting polar ice caps, causing the phenomenon of extreme weather. In addition, the use of fossil energy such as coal, oil and gas not only depletes natural resources, but also pollute the air, land, serious effects to human health and ecosystems.

năng lượng xanh
Green energy is renewable energy sources, sustainable, environment-friendly

To minimize the negative impact this world are turning to green energy – renewable energy source, sustainable, environment-friendly. The national and the global business is aiming to be carbon neutral, for example:

  • The European union (EU): commit 55% reduction in greenhouse gas emissions by 2030 and reach the level of emissions to net 0 by 2050.
  • United States: Development package of financial support to promote renewable energy such as solar power, wind.
  • Vietnam: Set a target emissions net 0 by 2050, with many policies to encourage business investment in green energy, such as tax reduction support loan.

2. Find out about green energy

2.1 what is green energy?

Green energy is the source of energy is produced from renewable resources, do not pollute the environment and can sustainable use. Characteristics of green energy is the ability to minimize the negative impact on climate and ecosystems. The source of this energy includes solar energy, wind energy, hydropower, biomass energy and geothermal.

Distinguish between green energy, renewable energy and clean energy:

  • Renewable energy: Is the energy source can re-create continuous in nature, such as sunlight, wind, flowing water, biomass. However, not all renewable energy are green (for example, a number of hydropower projects, large scale can cause bad impact to environment).
  • Clean energy: Focus on the do not cause pollution when used, for example, natural gas (natural gas can cause pollution when mined and processed, but less pollution than coal).
  • Green energy: Is the combination of two factors on ensuring just re-create, just friendly with the environment throughout the life cycle from production to consumption.
năng lượng xanh
Distinguish between green energy, renewable energy and clean energy

2.2. The main characteristics of green energy

  • Does not cause greenhouse gas emissions: do Not emit CO2 or gas causing the greenhouse effect other in the process of production or use. For example, A solar power system can provide energy throughout the life cycle, which do not emit any extra CO2 does.
  • Renewable and non-depletion: Is taken from nature can reproduce continuously, such as sunlight, wind, or water. This difference compared to fossil energy, which can limit will be depleted over time.
  • Low impact to the environment and eco-system: Production and consumption often does not cause negative impact significantly on the environment or ecosystem. For example, the wind farm is designed to be in harmony with the habitat of wild animals, minimally intrusive nature.

3. Types of green energy popular

3.1. Solar

Solar energy is energy taken from the sun, through the solar panels, photovoltaic (solar panels) to generate electricity or used solar thermal for heating. This is one of the green energy source popular and most accessible, especially in the amount of solar radiation as big as Vietnam.

Application:

  • Solar pv system on the roof: The business can install solar pv systems on the roof to supply power directly to manufacturing operations or office. This is a common solution to reduce dependence on the grid traditions.
  • Solar power plant: The large-scale projects, such as solar power plant in Ninh Thuan and Binh Thuan in Vietnam, helped provide energy for millions of households and businesses.

Benefits:

  • Reduce energy costs: A solar pv system can be reduced from 30%-70% electricity bills monthly, depending on the scale and system capacity.
  • Environmentally friendly: electricity Production from solar energy does not cause CO2 emissions, help reduce the negative impact to the environment.
  • Lasting effect: solar panels have a life expectancy of up to 25-30 years, bringing economic efficiency superior to the cost of the initial investment.

3.2. Wind energy

Wind energy is created by using the wind to spin the turbine blades, generating electricity through generator. This is a renewable energy source with high efficiency, especially in areas with wind speed and stability, such as coastal regions or plateau.

Application:

  • On-shore wind farms: The fields of wind turbine is built in area of vacant land where there are strong winds and constant, for example, wind power project in Binh Thuan and Ninh Thuan.
  • Offshore wind farm: wind Turbine offshore could harness the winds, less hampered, creating the amount of power greater than on the shore.

Benefits:

  • High energy efficiency: A wind turbine, large capacity can provide enough power for thousands of households each year.
  • In accordance with the area to strong winds: The coastal zone of Vietnam is the ideal place to harness wind energy, helping to reduce dependence on fossil energy.
  • Less operating costs: After installation, wind turbine cost of maintenance and low operation, helping to optimize the long-term cost to the business.
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Wind energy is a renewable energy source with high efficiency, especially in areas with wind speed and stability

3.3. Hydroelectric energy

Hydroelectric energy is generated by using the flow of water to spin the turbine, thereby generating electricity. This is a renewable energy source is stable and is widely used in the world, occupies a large portion in the total production of renewable energy worldwide.

Application:

  • Big hydropower plants: projects such as hydropower, Son La and Hoa Binh in Vietnam to provide billions of kWh of electricity each year, guaranteeing demand power for industrial and residential.
  • Hydro-electric systems small-scale businesses can invest in hydropower projects to provide energy for the production area or office in rural or remote areas.

Benefits:

  • Power supply steady and continuous: hydropower does not depend on weather elements such as sun or wind, thus has the ability to power supply more stable.
  • Take advantage of natural water: The river in Vietnam, giving the potential to harness hydropower very large, significant contribution to the production of national power.
  • Economic efficiency: After construction, hydropower plants have low operating cost and long life cycle, helping to reduce the pressure energy costs for business.

3.4. Biomass energy

Biomass energy is the source of energy is created from organic substances such as agricultural products (rice straw, rice husk), bio-waste (animal manure, food scraps), wood from trees grown for professional use. This is one of the effective ways to reuse waste, reduce environmental pollution, provides sustainable energy.

Application:

  • Production of electricity and heat:
    Biomass is burned directly to produce heat or converted into electricity through the electric generator.
  • Biomass:
    Conversion of biomass into biofuels like ethanol or biodiesel, which is widely used in transportation.
  • Production of biogas (biogas):
    The process of decomposition anaerobic organic waste generates methane, can be used as a source of energy for families and businesses.

Benefits:

  • Re-use resources:
    Biomass energy utilization of excess waste, help to minimize environmental pollution and waste efficiency.
  • Reduce greenhouse gas emissions:
    Use of biomass energy significantly reduces the amount of CO2 compared with the use of fossil fuels.
  • Creating economic opportunities:
    Business can take advantage of by-products produced or invested in the project biomass to provide energy self-sufficiency, at the same time generating additional revenue from the sale of excess energy.

3.5. Geothermal energy

Geothermal energy is the source of energy is tapped from the high temperatures within the earth. Heat energy is taken from the layer of hot stones or hot water tank underground through the borehole geothermal. This is a clean energy source, stable, does not depend on the weather.

Application:

  • Generator: Heat from the ground is used to evaporate water, spin turbines and generate electricity in geothermal power plants.
  • Heating and cooling: geothermal System is used to provide heating or cooling for buildings, factories and residential areas.
  • Industrial applications: geothermal Heat is used in the industrial processes such as dried food, paper manufacturing, or processing chemicals.

Benefits:

  • Energy stability: unlike solar or wind, geothermal energy does not depend on weather conditions and capable of providing continuous 24/7.
  • Reduce greenhouse gas emissions: The power from geothermal energy CO2 emissions is much lower compared to the power plant fossils.
  • Effective long-term economic: After installation, geothermal systems have low operating costs and high life expectancy, help enterprises to optimize energy costs.

4. Benefits of green energy for business

4.1 Reduce energy costs long-term

Energy such as solar, wind, is the renewable energy source and does not consume a limited resource. After the initial investment, operating costs of the system, green energy is almost negligible in comparison with fossil energy. This helps businesses save long term costs significantly.

Practical example: A business system installation, solar battery on the roof can be reduced from 40%-60% electricity bills monthly. Over time, this system usually payback after about 5-7 years, profit from cost savings energy extended for dozens of years.

Potential increase efficiency: The system wind energy or small hydropower can provide stable power supply, reduce dependence on the national grid, from which optimize the cost of production.

4.2 minimize environmental impact

Businesses significantly reduce CO2 emissions, one of the main causes of the greenhouse effect. Energy sources such as solar, wind, hydro and biomass not only help businesses minimize the negative impact on the environment to protect the atmosphere, soil, water supplies from contaminants hazardous to contribute to the conservation of natural resources.

Report of The international energy (IEA) shows that if the global increase in energy usage, green added 20% in 2030, CO2 emissions can be reduced by 12 billion tons.

A factory uses solar pv system on the roof can be reduced to 30-40% of CO2 emissions each year.

4.3 Meet international commitments on emissions and protect the climate

Governments around the world are adopting policies more stringent to reduce greenhouse gas emissions. Business use green energy will avoid penalties related to failure to comply with environmental regulations.

  • Nowadays, businesses have to comply with commitment to carbon emission in the framework of the Paris Agreement. The use of green energy to help businesses achieve this goal, avoid the sanctions or carbon tax from the government.
  • The business easily meet the international standards such as ISO 14001 environmental management, facilitate in expanding the international market.
  • Policies such as carbon tax or emissions could increase the cost significantly for the business use of fossil energy. Green energy helps to reduce this risk, while improving sustainability in the long term.

4.4 strengthening brand reputation

In the context of customers and investors increasingly interested in sustainability factors, the application of green energy is an effective way for businesses to show social responsibility, build brand image, green.

  • Attract customers and investors: investment funds, ESG (Environmental, Social, Governance) cooperation priorities with the business strategy for sustainable development, in which the use of green energy is the key element.
  • Business meet the standards of ESG not only enhance the prestige but also create competitive advantages on the international market.

4.5 Contribute to the sustainable development goals of the united Nations (SDGs)

Green energy plays an important role in achieving the goals SDG 7 (clean energy and sustainability), SDG 13 (climate Action).

  • Environmental protection: Helps to reduce greenhouse gas emissions, protect natural resources and maintain ecological balance.
  • Create long-term value: The business use of green energy not only contributes to the global goal, but also build a sustainable foundation for future development.
  • Increase opportunities for international cooperation: Many international organizations and investors preferred to cooperate with the business use of green energy, open up growth opportunities in the global market.
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Green energy plays an important role in achieving the goals SDG 7 and SDG 13

5. Solutions to promote business use green energy

5.1. Looking for financial support from the government and international organizations

Support from government

Government of many countries, including Vietnam, have implemented policies to encourage businesses to use green energy through:

  • Package of tax incentives: tax Exemption and reduction for businesses investing in projects of renewable energy.
  • Preferential loans: Provide the program credit low interest or financial support directly to the green energy project, for example: installation of solar electric systems or use technology to save energy in production.
  • Environmental protection fund: financial assistance for business make the project environmentally friendly.

Support from international organizations:

  • The world bank (World Bank): invest in green projects in developing countries, facilitate business access to capital easy.
  • The Green Climate fund (Green Climate Fund): Provides financial resources to support businesses to implement the initiative reduce greenhouse gas emissions.
  • International cooperation: entrepreneurs can participate in the program of bilateral cooperation such as the JCM (Joint Crediting Mechanism) between Vietnam and Japan, where providing financial, technology to deploy green energy.

5.2. Leverage technology to convert numbers

Technology applications, IoT: Internet of Things (IoT) to help businesses optimize energy usage through monitoring solutions, smart management:

  • System sensor: monitor, analyze energy consumption in real time, from which define the area to waste, take out measures to improve.
  • Automation: connecting power equipment such as LED lighting or HVAC (heating, ventilation, air conditioning) to operate more efficiently.

App artificial intelligence (AI): AI help businesses predict demand, energy use and optimize performance:

  • Predicted energy demand: the Use of algorithms, machine learning (machine learning) to analyze data and predict energy demand in the future, thereby adjusting capacity accordingly.
  • Optimized energy efficiency green: the AI System can optimize the operation of the wind turbine or solar panels to achieve the best performance, even in extreme weather conditions change.

Convert numbers in energy management: The software energy management helps enterprises monitor, evaluate, and plan to use energy in a comprehensive way, contribute to reducing waste and operating costs.

5.3. Cooperation with specialized partners

The role of partner expertise: Business can take advantage of expertise from the organization of green energy or company that provides sustainable solutions to develop projects more efficiently.

  • Engineering consultants: The experts can assess the potential and propose the optimal solution for each business.
  • Provide technology: cooperation with the provider of green technology such as solar pv systems, wind turbines, or management system, intelligent energy.
  • Project implementation: work with partner expertise to help minimize risks and optimize the deployment time.

5.4. Awareness internal

Motivational for staff: Training and awareness about the benefits of green energy to help employees understand the importance of applying this energy in daily activities.

  • Workshops and training program: Organization of workshops for the staff to catch the trend and benefits of green energy.
  • Practice program: encourage employees to participate in green initiatives, such as reducing energy waste or take advantage of natural light.

Attract the participation of the related parties:

  • Customer: promote green initiative that the business has applied to increase the support and loyalty from clients.
  • Partners and suppliers: Share a commitment to using green energy to establish sustainable relationships, long-term cooperation.

Construction corporate culture green:

  • Put green energy as part of its sustainable development strategy of the company.
  • Internal communication strongly about the importance of green energy, combined with the only aim is to assess the efficiency in saving energy.

Green energy not only is the solution to the environmental challenges but also opens up great opportunities for business sustainability and enhanced competitive advantage. The investment into this type of energy, helps save costs, minimize legal risk, creating prestigious long-term value for the business. In a world where sustainability has become the inevitable trend, energy green is a bridge to the business to meet the requirements of the current construction of a prosperous future and a green cleaner.

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Ho Hieu
Over 12 years of experience on business and management business and is a consultant on business management exposure over 300 CEO, CIO, CFO,...Read more >>>
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