A Simple Plan: Investments

The Merits And Demerits Of Hydroelectric Energy Investment

Whenever water flows over running turbines, there is a generation of electrical energy which is known as the hydroelectric energy. Hydropower is one of the oldest large-scale renewable energy sources which contributed a third of all energy needs in the US in the 1940s.Today the hydropower contributes around 6% of the power needs of the United States because of the increased investment in other energy sources.

The hydroelectric energy has its economic and environmental pros and cons and therefore it is crucial that these aspects are understood before investing in the energy source.

Explained below are some of the pros of making investments on the hydroelectric power generation. First,it uses water a free and readily available resource and therefore there is virtually no cost to be incurred when getting the resource unlike the use of fossil fuels whose price is high and keep on fluctuating. The second reason why you should consider investing in hydroelectric power generation is because of its high efficiency in converting captured energy to electrical energy which stands at around 90%.The third attractive thing about hydroelectric power generation is that it has no water,air or land pollution which makes it better as compared to other forms of energy which contributes to global warming and causes other environmental pollution.The fourth advantage of investing in the hydroelectric energy is that the process is renewable because when water which is used to run turbines evaporates,it falls back naturally as rain. The fifth advantage of investing in hydroelectric energy is that it greatly make the quality of the environment to be better through creation of farm irrigation opportunities and huge habitats for aquatic life such as fish.The sixth good side of making investments on hydroelectric energy is the ability to continuously meet new demands through putting up additional power plants in the already existing hydropower dams. The seventh pro of investing in hydroelectric energy is that alongside power generation, you can set up recreational amenities for holidaymakers such as camping, water sports and fishing.The other advantage of investing in hydropower is that it is cost effective when compared to other source of energy such as natural gas and coal.

The disadvantages of investing in hydroelectric energy has the following disadvantages.To begin with,the hydropower generation contributes to the destruction of natural habitats. The second disadvantage to hydroelectric power generation is that there are some large amounts of methane and carbon IV oxide emission that occurs when the plants and trees rot without using oxygen around the dam. The other disadvantages of investing in hydroelectric energy are the facts that it relies on heavy rainfall to generate maximum power,it poses great danger to the neighbouring people and structures due to its flood riskiness and that the cost of installation is high.

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