How much does it cost to transition from the use of fossil fuels to provide energy to homes and industries to the use of renewable sources of energy? The transition to clean energy use may seem expensive now, but in the long run, the government will be able to benefit from the transition. Considering the cost of buying fossil fuels every time, energy management systems will truly appreciate the very nature of renewable energy and how it can be used again and again.
The calculation of the transition does not include the savings that people get from avoiding all the harsh effects of air pollution and other forms of climate damages. This is according to the statement made by James Williams, a researcher and specialist from the University of San Francisco.
"The energy economy must focus on achieving low carbon emissions, which in transition is one of the aspects where most of the budget for the transition will be used. The capital cost of the transition includes the improvement of all the equipment used today to pave the way for the renewable energy resource. The capital cost will end up to be bigger now, but that's where the cost of it truly ends. The ones that will follow will be very minimal," Williams said. He was asked about where the start-up cost of the transition will be going in a workshop sponsored by the National Academies of Sciences, Engineering and Medicine.
The cost of the transitioning if the target date is by 2050 will only be about 1% of the total Gross Domestic Product, given than this percent could mean much less. The Academy had a workshop on Deep Decarbonization. "And so people will end up with the net cost which is by then relatively low difference if all the changes fall into place."
However, the 1% of the total GDP seems too huge for many. Is the public ready for such transition? It could mean higher energy costs as the new system tries to ease in. According to Bruce Parker, a retired IT professional:
"Has there been any thought about getting the public ready for a decarbonization?"
Even a slight increase in cost during the transition could make the people wonder if the shift is worth it. It is rather important to consider the overall cost of energy in the long run than to focus on the minute increases during the transition.