History Of Green Technology

storey Of Green TechnologyIn this forward-looking era, engineering science is improving immobile and economic is outgrowth rapidly collectible to the luxurious lifestyle of homo nowadays. We laughingstock progress to as much qualification as we motive by producing efficiently and continuously. But the negative trespass that these dexterity give is much than positive impact because of resources that we need to use and waste ingathering that were produce from the process of producing nothing such as nuclear notwithstandington and ember zip.On the different hand, the rapid growth of industry from countrified industry to manu occurrenceuring industry in the past decades has caused the issue of zip to enlarge. However, the increase in these ability production consume a great marrow of resource and allow for cause contamination to the environment and also state nowadays has already aw be of the consequences of pollution that pull up stakes bring to us in pr oximo. Therefore, production of park technology and muscle has been increasing in these few years.1.1 History of Green TechnologyIn the early days, to begin with the industry revolution, wad were using the main source, the sun, to generating the heat, they also used the different source to assist their daily life, such as horses as their expatriation use, animals like cows and donkeys as their labors, and the wind go away use to instigate the sails and gene number the simple machine. However, since the first introduce of modern locomote engine by Thomas Newcomen and James Watt in the mid 1700s, people frame the possibility of make use of the billet of steam. The single steam engines were soon became powering locomotives, cypheries and coldm implements after the coal dug from the miles of England and Appalachia. In the 1800s, to a greater extent and more natural resources were founded useful and able to bring us a zillion of convenience, such as the oil and petroleum w hich use in processed the gasoline for machine combustion after that. However, this ease has brought a lot of vitality crisis exclusively told in all around the world today due to the huge consumption on the fogey displaces such as the oil, coal and the natural gas in the past decade.Nowadays, ballpark technology can refer to many different things, such as clean energy, renewable energy, sustainable energy, waste management and energy conservation. However, it is hard to find a history specify for leafy vegetable technology in the past. During the 1900s, on that point were a series of energy crisis in the Middle East and things getting worsened in year 1973 when the embargo imposed by the oil producers of Iraq on America led the wrong of crude oil to rise from $3 per barrel to $12 in year 1974 and al almost r individually a average wrong of $45 in year 1980. This decision was in response to the America gave their support for the Israel in the Arab-Israeli War (Yom Kippur War). (Terry Macalister, 3 meet 2011)United Stated was awaking by this oil crisis and sop upd the importance of the energy resources, at that placefore beginning the initial charge for developing the clean energy. In 1978, the National qualification Act became a landmark first grade in beginning the inquiry and development of renewable energy, but the push for renewable standards really began in the 1960s. (http//www. putting surfaceenergychoice.com/ potassium-guide/renewable-events.html) After that, Madrigal also had a world-shaking explore in solar, wind and former(a) alternative energies because there is a sudden change in the energy cost and actualisation of environmental crisis. These were the evidences to prove that since 1900s, green technology was undergoing a huge and rapid growth until today. In icon 1, the diagram shows the rapid growth of energy consumption from year 1986 to 2011.Figure 1 World primary energy consumption grew by 2.5% in 2011, less than half t he growth rank experienced in 2010 but close to the historical average. Rowth decelerated for all regions and for all fuels. Oil remains the worlds leading fuel, accounting for 33.0% of global energy consumption, but this figure is the lowest sh are on record. Coals market share of 30.3% was the highest since 1969.1.2 investigate Background nil is very crucial nowadays in every industrialized country and also consumed by household. Most of the energy is approach path from oil and natural gas but unfortunately these resources are depleting when quantify goes on. Due to this problem, researchers are trying to develop alternative fuels, new manner of generating energy and energy efficiency requirement. They collect developed many sources of renewable energy which is chemical energy, electrical energy, radiant energy and nuclear energy. Although all these alternatives sources of energy is renewable, but it also pose another(prenominal) negative impact to the environment said Ko fi (2002).In rough countries, clean energy is produced which is energy that does not produce waste products also cognize as green energy. According to Bakar, Sam, Tahir, Rajianiand Muslan (2011), green technology is an evolving of various kind of methodologies and materials enhancement. The usage of environmental friendly mechanisms has been increased to reduce the impact resulting from industrial sector wastage and fossil fuel consumption due to researches that has been make by scientists related to green technology pointing to climate changes and global warm up due to greenhouse gases. With the menace of global warming and costly energy rising, businesses are starting to realize the benefits of using these technologies to reduce carbon footprint and waste while self-aggrandizing the business a positive results said Zainura (2010). According to Eyraud, Wane, Zhang and Clements (2011), they have done research on renewable energy by analyzing the trends and determinants of inve stment on green technology for the last decades on advanced and emerging countries. They are using multi-country historical selective informationset and the results shows that green investment has become an important factor in energy sector which is growing rapidly mostly by China.1.3 Development of Green TechnologyThere are various types of green technology such as wind power, solar energy, hydroelectric power which is derived from the water movement, biofuels which is derived from burning plants and animals substances., geothermal energy which is derived from the heat that given rack up by the earth, biomass which is produced by the organic materials such as plants and animals.Figure 2 G20 Renewable Electricity ProductionCUsersUserDesktopUntitled.pngSource NRDC, 2012 U.S. verve instruction Administration, 2012 Bloomberg New muscularity Finance 2012There is a research and data collection prepared by the NRDC, 2012 U.S. Energy Information Administration, 2012 Bloomberg New Energ y Finance 2012 showing some important statistics in percentage of the renewable electricity production and investment of be the G20 country. The electricity are produced by various kind of renewable resources such as the wind, solar, geothermal, wave and tidal. (see figure 2)Table 1 Electricity from Wind, Solar, Geothermal, Tidal and Wave in the G20 CountriesCUsersUserDesktopUntitled1.pngSource Natural Resources Defense Council, Energy Information Administration, and Bloomberg New Energy FinanceAs of 2011, the EU countries are really leading the pack, with Germany the most out of the G20 countries, getting nearly 11% of its energy from renewable sources. Its followed by the EU as a whole with almost 7%, thence Italy and Indonesia. separate countries like the U.S., China, Mexico, and Brazil lag behind. The US comes in at seventh place, where its measly 2.7% renewable energy puts it just a pilus ahead of Mexico. Russia comes in last, with 0.0% of its energy coming from renewable so urces. While all these countries have do important progress since 2002 they are restrained importantly behind other countries like New Zealand, Spain, Portugal, and Iceland (see table 1).The NRDC also ranked the nations on how much their renewable energy production has grown since 2002. southwesterly Korea has had the most growth it multiplied its then-puny production 200 times, putting it at a still-puny 0.9%. China comes in a distant second, having multiplied its renewable energy more than 80 times. The US is eleventh on that list, having quadrupled its production. Argentina, where production has decreased by 12%, is last. (see table 1)Table 2 stature Countries for Clean Energy Investments in 2011CUsersUserDesktopUntitled3.pngSource Bloomberg New Energy Finance, 2012These rising trends are showing up in the investment in clean energy in for each one of these G20 countries. Since 2002, the G20 countries have cumulatively invested all all over $860 billion in clean energy, ac cording to data from Bloomberg New Energy Finance. The majority of this investment has occurred in the E.U. ($291 billion), followed by the U.S. ($215 billion), China ($197 billion), Brazil ($52 billion), and India ($40 billion). Saudi Arabia, which has spent a pathetic $20 zillion since 2004, comes in last place. This is because in Saudi Arabia the oil price is still low.In the midst of worldwide renewable energy sector growth, some government policies encouraged renewable energy growth much more effectively than others, such as Germanys feed-in tariffs. The United States has been pursuing renewable energy less aggressively than Germany has, and, in accordance with the saying you reap what you sow, Germany has remote more effectively stimulated renewable energy growth. To fully perceive the importance of weighing an aggressive growth policy versus a milder one, its important to understand the purpose of encouraging renewable energy usage.Due to the fact that global warming is a time bomb that requires urgent action, a mild growth policy that leaves the United States generating whole 2.7% of power from renewable sources is not adequate. Every year that coal power plants dominate, they make a significant contribution to our growing global warming problem. If global warming was not an issue, it could be pursued less aggressively. However, peak oil is a concern as well.The reports authors remind the 20 nations of the commitment they 20 made in 2002 to substantially increase the global share of renewable energy sources. Theyve made a difference in the G20 countries as a whole, new clean energy investments have increased by almost 600 percent, far outpacing economic growth in those countries. But its not enough, the reports authors warn. Without a undischarged turnaround, the G20 nations are on no track to meet their goal. The G20 nations as a whole watercoursely use 2.6% renewable energy. Based on current trends, they will be using under 4 percent by 2015, a nd less than 6 percent by 2020. (Jake Schmidt Aaron Haifly, Jan 2012)Problem Statement1.4 inquiry Objective1.4.1 General ObjectiveThe ordinary objective of this cartoon is to study the factor that enhances the global green technology in economic perspective. Other than that, the purpose of this study is to test the cointegration and longsighted deport race among the variables by using Vector Error Correction Model (VECM) method. Then, we will found out which variables are significantly influenced others and how it does in order to discover a more effective way in doing an enhancement of green technology in global.There are five variables that we used in our study, which are clean energy index (green technology index), fossil fuel price, carbon dioxide permits price, technology index and the market stock price (SP calciferol). Lastly, the precise objectives of this research are as follow.1.4.2 Specific ObjectiveOur specific objectives are as follows1. To examine whether cl ean energy index and fossil fuel price has any cointegrated and long run kinship by using VECM.2. To examine whether clean energy index and CO2 permits price has any cointegrated and long run relationship by using VECM.3. To examine whether clean energy index and technology index has any cointegrated and long run relationship by using VECM.4. To examine whether clean energy index and SP 500 has any cointegrated and long run relationship by using VECM.1.5 inquiry QuestionDo the clean energy index and fossil fuel price have a significant relationship between each other?Do the clean energy index and CO2 permits price have a significant relationship between each other?Do the clean energy index and technology index have a significant relationship between each other?Do the clean energy index and SP 500 have a significant relationship between each other?1.6 Hypothesis of the studyIn our research, we treated all the variables as our dependent variables. Thus in this strip there is no nee d to specify which variables are endogenous variables and which are the exogenous variables by using this VECM method. So, we are going to make a hypotheses to figure out either there are cointegrated and long run relationship exist among these variables.In fact, as we noticed that, the rapidly growing of the green technology globally in recent decades, hence, we are expect that the variables we had chosen will have long run relationship and cointegrated among each others.1.7 Significant of the studyBack to the previous studies, past researcher have stated that the clean energy index, technology index, oil price, interest rate have long run relationship and cointegrated among each other. However, the study had forecast out CO2 permits price had no long run relationship and no influenced by other variables (Surender Kumar, 2009). Therefore, in our study, we decided to investigate over the CO2 permits price with other variables again to figure out whether there is an existence of coi ntegrated and long run relationship among them.Due to the sharply rises of the pollution rate and the energy crisis problems, it has been ring a bell to not only the developed countries but globally including those countries which are still in developing stage. Based on the previously studies, most of the researchers were only focus the theatre of operations of study on developed countries and some of them are worlds renewable energy leaders (Germany, Denmark, Spain), such as the OECD countries and G20 nations. On the other hand, contribution of other small countries also cant be neglected. So, it is important to investigate other developing countries which are also undergoing a huge improvement in their clean energy growth such as Iceland, Lesotho, Albania, Paraguay, Bhutan and Mozambique. Therefore, we decided to do a globally research on our topic.Besides that, the government and future researcher may use this study as their references. For example, government will get benefit b y have some ideas with how to enhance their green technology due to the past research had stated that the country uncouth domestic production has a positive relationship directly with the green technology growth. Furthermore, future researcher can do a followup on this study and they may do a more trusty with future theory.1.8 Chapter LayoutIn chapter one, which is the introductory chapter includes background and explanation of green technology and how it benefits to the environment, problem statement, objectives, hypothesis and lastly theoretical framework. In the background and definition part, we discuss nigh the importance of clean energy also known as renewable energy and what is benefits it will bring to our environment.After that, our research will continue to problem statement. In this part, we will discuss about the problem and issue of the research topic in detail. Then we will proceed to next part which is the objective. It is separated into two parts that is genera l objective which is the main objective of our research and specific objective which is specific idea of what we are going to test.And lastly we will continue with theoretical framework that is the structure that supports the theory of a research study. In this part, we will include and describes the theory that we use and apply in this research.