Economic Analysis Of The Energy Sector Essay Example | Topics and Well Written Essays - 2000 words

Economic Analysis Of The Energy Sector - Essay Example I will use articles, journals and books relating to the energy sector business to write this essay. Section One Self Employment Opportunities in the Energy Sector are indicators of growth and prosperity of a nation. Fossil fuels are diminishing at an increasing rate and have become scarce (Steger, 2005). Due to the scarcity, conservation and efficient utilization of various forms of energy have been of concern. Conservation of energy and efficient utilization of energy has tremendous potential, self-employment opportunities (Taylor and Parish, 2008). There are various nonbanking financial institutions, which have developed as a result of promoting energy conservation. In addition, individuals can get self-employment in the energy sector through setting up energy auditing firms that are accredited or becoming an individual consultant in the line of energy auditing (Peterson’s, 2010). Methodology In writing this research, primary and secondary materials will be used. Primary sou rces include interviewing self-employed people in the energy sector and talking to people in the energy business. Secondary sources used include books, articles and various reports provided by institutions and companies in the energy sector. General Trends in the Energy Sector World energy production has undergone a pivotal transformation in energy and resource management. Due to the growing world population currently standing at seven billion, there is a need in the development of the entire energy sector to ensure sustainability in the sector (Chung, 2005). This development requires people who are skilled in taking over investments in the energy sector. A research conducted by Karen Ward reveals that there is an adequate supply of oil for the next fifty years, and that of gas for the next 100-200 years (UNEP, 2009), but due to the growing demand for oil and gas, extraction cost and environment preservation, the industry faces a future with challenges and focuses on renewable energ y sources in securing a sustainable future. Some global organizations are promoting investments in the renewable sources in order to achieve sustainability. The world’s investments in the renewable sources of energy have increased by around 30% from 2009-2010, attaining a level of $ 243 billion (UNEP, 2010). This can be attributed to the utility companies seeking the reduction of carbon emissions and organizations seeking investments in the energy sector to achieve sustainable levels. According to Allen and York (2010), they see the growth of renewable energy within the portfolio and corporate, business plans of modern companies. Hence, the number corporations seeking renewable energy investments are on the increase. The European job market in the wind targets to increase renewable energy by 20% by 2020 and is positively responding to the set targets (EWEA, 2009). According to RenewableUK (2011), strong growth in the wind energy sector is expected over the next decade, creati ng over 250,000 new employment opportunities. There is a growing demand for energy professionals in the UK due to the rise in wind energy firms (EWEA, 2009). This has created self-employment job opportunities for those individuals willing to invest in the sector (Deitche, 2010). From the recent developments in the renewable energy investments, there is an increasing demand for project managers, connection engineers, environment assessors, energy auditors, and project developers to undertake the investment business.