Renewable energy investing is hotly debated globally. For some, it is purely practical; for others, a political statement; and for still others, a matter of protecting the Earth. In 2013, global investment in the green energy industry fell 11% to $254 billion, which was on the heels of a 10% drop in 2012. The fall in the amount of investments is partly due to a steep decline in the cost of photovoltaic structures, as well as mounting investor unease over policy changes in the US and Europe.     

In Europe, the costs of fossil fuels have been rising, and these expenses are borne heavily by consumers. As renewable energy becomes less expensive and takes the place of oil, gas, and coal in the next decade, the price to produce energy will fall – but it remains to be seen how much this will benefit consumers in the near to medium term. Post 2020, there will be a need to invest in the new energy infrastructure, which could very well keep consumer prices inflated. In 2013, renewable energy investment in Europe fell to $58 billion, a 41% decline.

Although the cost of producing bio fuels has been falling, some potential users, such as the U.S. military, have expressed concern as to whether it can be produced in great enough quantities to fulfill large-scale needs. In another part of the world, New Zealand, the $1.4 billion Mighty River Power Ltd. IPO, helped to buoy public market investments in renewables. Mighty River operates five geothermal stations, nine hydro plants, and a natural gas-fired plant near Auckland. It provides power to about 20 percent of New Zealand’s homes.

Japan is a marked exception to the global trend. Clean energy investment in Japan rose to $35.4 billion, a 55% increase in 2013, as the country attempts to replace the lost capacity of its nuclear power plants. The disaster at the Fukushima Daiichi nuclear power plant has left the country sour on nuclear energy. Fossil fuels are more attractive, and Japan has announced an initiative to build 12 new natural gas and two new coal plants at a cost of $7 billion.

The automobile industry has helped maintain dependence on fossil fuels. Publicly traded Tesla Motors, with a plant located in Fremont, California – a part of Silicon Valley – has gained notoriety with its luxury electric-powered vehicles. In 2013, it sold over 20,000 cars and has a presence in Canada, Europe, and China.