Energy Efficiency: Learning from Japan

One of the puzzling things about today's energy climate is why the U.S. is so content to continue its course, allowing Big Oil to call the shots. As the only superpower in the world, and arguably the country with the brightest minds, we should be looking to the 21st Century for our energy needs, rather than continuing to rely on Big Oil companies like Exxon (XOM), Chevron (CVX), Conoco-Phillips (COP) and others for an energy supply that ran the 20th Century.

Japan
Photo:Stefan, Creative Commons, Flickr

Indeed, the big question is, why aren't we investing more in alternative energy? Viable biofuels are being developed even as I write, and solar power and wind power are becoming even more attractive options. It seems strange that few Big Oil companies are diversifying more to include alternative energy investments. Aren't these companies afraid that they will go down sometime in the next few years as efficient alternative energy is developed? Or is Big Oil counting on its continued lobby to maintain its government free pass?

If you are looking for alternative energy investment, it might be time to look to Japan. Japan, as reported by the Japan Times, is committed to alternative energy investment as it works toward a more sustainable society:

If Japan reduces its energy demands by 40 to 45 percent through improved efficiency and the introduction of a low-carbon energy supply, the nation has the technological potential to reduce CO 2 emissions to 70 percent below 1990 levels by 2050, without sacrificing its present levels of affluence.

There are already potential plans in development, backdating from 2050, so that the steps to reaching a better energy goal can be made starting now. This is some pretty heavy stuff. And a clear challenge to U.S. innovation. Japan can make an affluent and sustainable society. Why can't we?

The answer may be in the reluctance of the greatest innovator of the past, the United States, to actually innovate in the area of energy. Some alternative energy is seen as too risky for investing, and many people don't see a need to change the status quo. Plus, Big Oil has a rather large campaign going to insist that there's no need to change the status quo. But it's not just about global warming (which is what "they" want you focused on), it's about reducing harmful pollution and creating a stable energy supply that doesn't rely on hostile regimes and volatile world regions. After all, what would happen to Big Oil stock if suddenly solar power made it possible for you to meet your energy needs without having to pay a utility bill?

Disclosure: I own none of the stocks listed above. I am biased in favor of alternative energy investing and interested in exploring international alternative energy options.

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