The U.S. is sitting on an underground ocean of energy–and the news is all good for small businesses.
We are massive energy users. Last year, the U.S. consumed 95.1 quadrillion BTUs of energy. A BTU, or British Thermal Unit, is the amount of energy needed to raise 1 pound of water by 1 degree or roughly the energy released when you strike a match. Those quadrillions of BTUs didn’t come cheap; consumers and businesses spent over $1.2 trillion on them. Our voracious appetite for energy shows no abatement. Even as our cars, homes and gadgets become more energy efficient, there are more people with more stuff whose additional consumption offsets these savings. Without bountiful sources of energy, its cost goes up dramatically as demand outstrips supply. This leads to inflation, reduced productivity and lower long-term growth. Luckily, a new source of energy is being mined in the U.S., and with it comes an abundance of business opportunities, as well as a much lower energy bill on the horizon.
The Failure of Green Energy
For the past decade, the buzz in the energy sector has been linked to “green” technologies, which promised environmentally friendly, affordable and scalable energy sources. Green energy would minimize the role that dirty fossil fuels like coal have in powering our economy and, in the process, create millions of high-paying jobs. The current administration has invested over $50 billion to support the green energy revolution but the promised results never really materialized. Over 30 green-tech companies that received financial support from the federal government have failed, with most, including Solyndra and Abound Solar, landing in bankruptcy. The Energy Information Administration (EIA) reports that energy from renewable sources represents only 11 percent of total energy production. Virtually all of it comes from biomass and hydroelectric power sources. Solar, wind and geothermal energy production levels are rounding errors, just as they were in the 1990s, 1980s and 1970s. There are no credible projections that show green energy taking over anytime soon.
