- War is accelerating the need for green energy globally. Solar and EV companies may be the ultimate winners.
- Severe underinvestment in infrastructure means private investors can sideline governments to cash in on the opportunity.
- Car manufacturers seek to exploit the opportunity to go all in on electric vehicles, with consumers ready to embrace the trend.
It is not business as usual. Investors are not piling into weapons and oil the way they usually did. Europeans and Americans might be astonished that in 2022 their governments still fail to negotiate peace agreements, but they don’t intend to be held ransom to high gas prices.
One chart explains why the usual TESLA chargers won’t be enough to sustain Americas demand for EV charging:
The number of electric vehicle models more than doubled in just two years – and that is not thanks to Tesla, but rather a combination of GM, Honda, Toyota, Rivian, Nissan and a let’s not forget the German brands.
Prior to Putin’s war in Ukraine, Americans were already hurting at the gas pump. One may argue that regardless of how Biden sees Elon Musk, his policies may have been the biggest marketer for Tesla sales. Why? Because shutting the keystone pipeline sent prices soaring. Now, with the threat of $300 oil coming from Eurasia, the U.S. government is even turning to “the best of” our adversaries, like Iran and Venezuela, for oil talks. This suggests that the resistance to change has forced an undesirable desperation in our actions on the global stage. The ARK innovation fund believes that consumers will respond to high gas prices by accelerating the adoption of EV’s more rapidly than before.
Let’s face it: change has been inevitable. We can blame Putin, Iran, China or any other nation, yet the rate at which we abused gas was unsustainable for the environment. Now, it is also unsustainable for our pockets. Biden may have pledged just $5Billion to Americans to support EV charging (compared to $10Billion for Ukrainians) – but that does not stop private investors from seizing the moment.
Solar EV Charging Stations Are Lacking:
Clean energy is the answer to many of our problems today. What better than solar-powered EV charging stations, both at home and across America? Besides, these days Americans enjoy local travel more during a time when the global travel is hampered by a nasty cocktail of coronavirus and war.
Ironically, it was the American taxpayer that helped to create Tesla under the Obama administration – yet Mr. Musk did not return the favor in the manner many expected: he did not announce plans to help Americans who drive non-Tesla EV’s to access more charging facilities. But Americans are buying alternative EV’s and analysts believe the Tesla market share will drop from 70% to less than 20% – in fact, Bank of America auto analyst John Murphy agrees with this.
American Choice Will Require Alternative Charging Options
If there is one thing that a free market loves, it is choice. Americans want to be able to buy their favorite Toyota, Lexus, Nissan, Chev – and would be unlikely to cave into EV charging monopolies. In America, we have already proven that solar EV charging is sustainable.
The enabler to drive whatever EV one desires is not to burn natural gas to generate electricity as they do in Greece, Bulgaria and several EU countries who forfeit their solar birthrights for gas dependency. The answer lies in solar EV charging – and America desperately needs to scale up and open this market for the better of mankind.
With EV’s going mainstream, is EV charging an investment opportunity?
Situations in the world have brought us to the point where EV’s will go mainstream. America does not need to enter a prolonged recession, and is in a better position than Europe to bounce back quickly from current turmoil. Smart American investors have a long history of turning recessions into opportunities. The Rockefellers, Paul Getty, and Joseph Kennedy were all focussed on benefiting from unprecedented change. Today people are looking at a the wartime economy (with reference to Russia and Ukraine) and are saying let’s seize the moment and go green. What can we invest in during wartime? EV charging solutions that are green, which can only really be wind or solar.
As we cross the final hurdles in our addiction to gas, it may be that investing in a variety of accessible EV charging solutions, represents an investment opportunity where for once, the ethical, green investor will be at the forefront of a huge phenomenon that solves our problem.
6 Potential EV Solar Charging Providers To Watch
Although Solar Integrated Roofing Corporation (OTC PINK: SIRC) has enjoyed much attention in the news lately, numerous providers are eyeing the market. David Massey the CEO of SIRC stated that in a company press release “…Electric vehicle charging is the next massive opportunity in our market, and this calculated alignment of our near-term focus will help to position SIRC as a clear national player in the space…” he also stated that “…after we close our announced acquisitions, I believe our sales run rate is likely to exceed $400 million annually.”
Currently, there are 6 EV charging companies that stand out for unique reasons:
- Solar Integrated Roofing Corp (OTC: SIRC) announced a major disruptive play.
- Beam Global (formerly Envision Solar) already opened several charging stations in San Diego.
- Electrify America has rolled out a number of stations in the U.S.
- Hive Technologies is making an effort in this field but little is known to date.
- Ubitricity is seeking to scale up charging solutions for the German market.
- Taka Solar Corporation mentioned a particular interest in targeting parking lots for solar charging.
The market is already ripe with first-movers, which warrants further analysis by prudent investors. The following clean energy stocks in particular are worth noting:
Solar Integrated Roofing Corp (OTC: SIRC), Sunrun, Inc. (NASDAQ: RUN), Blink Charging Co. (NASDAQ: BLNK), Tesla, Inc. (NASDAQ: TSLA), GM (NYSE: GM), ChargePoint (NYSE: CHPT), EVgo (NASDAQ: EVGO), SolarEdge Technologies, Inc. (NASDAQ: SEDG), First Solar, Inc. (NASDAQ: FSLR), SunPower (NASDAQ: SPWR)
The attractiveness of SIRC in particular relates to the broad range of solutions and monetization points it has: sales and installation of solar energy systems, battery backup and electric vehicle (EV) charging stations to roofing, HVAC and related electrical contracting work. All of this will be accelerated by new acquisitions to consolidate their market position.
Energy Freedom Will Require Determined Investors:
The suggestion to increase oil output can only be a temporary solution and will only harm the environment, asthmatics and a slew of old problems. It should be the government who steps in and back solutions like Solar Integrated Roofing Corp (OTC: SIRC) and others through it’s infrastructure spending. However, given infighting about “build back better”, private investors who reached their threshold for institutional impotence, may well see it as their duty to sideline the government and make a substantial push for energy freedom for American drivers. Whereas mainstream investors are split on U.S. military spending, a potential point for convergence will be freedom by means of clean energy.
One may not know the answer to the best investment opportunities during this unique stagflationary environment, especially at a time when the bears like Nuriel Roubini point to a global recession. But we have the knowledge of what is right and wrong for our health and the environment. Fortunately, Americans and Europeans know how to vote with their wallets – and today, those who can, are likely to choose EV’s.
Hedge Funds Went Green – The Masses Are About To Follow:
Today, even Blackrock is riding high on ethical investments: it was a portfolio rebalancing act that paid off. Americans no longer need to not sit back and be owned by higher gas prices. In 2022, the worlds’ top carmakers have broken the monopoly that existed on EV’s and the line up of new EV releases is quite stunning. Now, the final step is to make a concerted push for widely available clean EV charging facilities – and solar is our best immediate enabler.
The best investment opportunities for 2022 will be much harder to identify considering that we are on the cusp of a recession with hyperinflation distorting the picture. One thing that is here to stay, is the green energy trend, with or without the help of the WEF.