"There's no 'silver bullet' solution to the energy crisis; but there are some solutions that do work," says Sean Broderick, referring to wind and solar power.
In The Safe Money Report. he says, "There are with some choice ETF to power your own bottom line." Here's a looks at the two "green" technologies.
"Many Americans are disgusted by the fact that, faced with an energy crisis, the government seems to produce nothing but hot air.
"So let me give you my appraisal of two alternative energy solutions that work -- along with some choice exchange-traded funds that can power your own bottom line. Here are two energy solutions that work right now.
Solution #1: Wind Power
"Critics will point out that the wind seems to stop blowing when you want electricity most — on hot summer days. And that is a problem. However, a study last year by Stanford University shows that wind power from interconnected farms can be used as reliable base load electric power.
"As one might expect, not all locations make sense for wind farms. But legendary oilman T. Boone Pickens says the United States should take advantage of the so-called "wind corridor," stretching from the Canadian border to West Texas.
"Energy from wind turbines built there could supply 20% or more of the nation's power by 2030, according to a new report from the Department of Energy.
"U.S. electrical demand is expected to grow another 39% through 2030, so wind would help fill the gap. And although wind is expensive, costs per unit should come down with a larger scale operation. Besides, with the cost of coal and natural gas rising, wind is already becoming more competitive.
Solution #2: Solar Power
"Unlike wind, we tend to get the most solar power when most electricity is needed — during hot summer months. And the technology is working now. There are two general forms of solar power.
"The first is PV or photovoltaic, which converts energy from photons directly into electricity. The second is thermal, which uses the sun's heat, concentrated to heat liquids to transfer that heat, boil water and turn a turbine.
"A rooftop photovoltaic system is fairly expensive — about $35,000 to $40,000, though the cost can be reduced through tax incentives and rebates. In sunny Florida, where I live, the system would probably pay for itself in 15 years or less — a lot less if electricity rates go through the roof, as Florida Power & Light is now threatening.
"Solar thermal is also expensive, though cheaper than PV-based solar power. The Mojave Desert in the southwest is home to the largest solar thermal system in the United States.
"This Solar Energy Generation System has a total capacity of 354 megawatts. And new technology allows for better, cheaper storage of solar energy even when the sun isn't shining. Of course, wind and solar aren't widely used to power cars ... but that too can change.
"Still, I want you to know that there are workable solutions right now. And not only can they help our country, but they can reward investors, too. There are a bunch of great funds in the alternative energy space.
"Here are two ETFS, one that focuses on wind, the other on solar. The Claymore/Mac Global Solar Energy Index ETF (NYSE: TAN) holds a basket of 25 stocks in the solar space, and it is a fund with a global portfolio, as its name implies. The PowerShares Global Wind Energy ETF (NASDAQ: PWND) is a basket of 32 companies, also worldwide, that are focusing on wind energy."
