"Israel's economy can expect an annual benefit of $181 million a year from the use of solar energy, or $2 billion over ten years," states a strategic analysis by Eco-Energy Ltd. on the economic value of solar energy. Greenpeace commissioned the report, which will be presented at 2005 Energy Conference tomorrow at Kfar Hamaccabiah.
Eco Energy CEO Amit Mor conducted a cost-benefit analysis of gradually expanding the production of electricity by solar energy to 2,500 Megawatts by 2025.
The report says most of the benefit to the economy will come from avoiding carbon dioxide emissions and other pollutants, saving electricity transportation costs, and savings in foreign currency, since solar energy does not use imported fuel to produce power.
In addition, the project will create jobs, especially in the Negev. The project will created an estimated several thousands solar energy equipment manufacturing jobs.
The current disadvantage of solar energy is that facilities only work during daylight, requiring a six-eight dunam (1.5-2 acre) are to generate one Megawatt of electricity.
Greenpeace believes that supportive government policies could turn Israel into a solar energy global leader, to the benefit of the economy.
Israel's government calls for 2% of total electricity production to be produced by renewable energy in 2007, and 5% by 2015.
Published by Globes [online], Israel business news - www.globes.co.il - on May 29, 2005