I was thrilled to learn this morning that Google Inc. (NASDAQ: GOOG) will meet part of its energy needs with solar power.
I've been interested in solar power since I measured how much a couple of solar cells would heat water while earning my engineering degree in college. And my house has two big solar panels on it that save us a few hundred dollars a winter.
I have long wondered, then, what it would take to get this technology out of the lab and into wider use. Despite technological advances since the first photovoltaic cells were invented 50 years ago, solar power is still two to three times more expensive than fossil fuels in the U.S. and relies on government subsidies to compete.
Google's example could help increase demand, which would raise production and lead to economies of scale. Google plans to put 9,200 solar panels in place next spring. The panels are expected to produce about 1.6 megawatts of electricity, meeting 30% of the energy needs for its million square foot headquarters dubbed the Googleplex. The energy savings from project are expected to return Google's investment in five to 10 years.
Google's move is intended to encourage corporations around the world to follow its lead. And it represents an interesting cross-over between its charitable foundation, Google.org, and its business operations.
Will this help any private equity investments of Google's founders? I don't know but in my view there's nothing wrong with doing well by doing good.
Peter Cohan is President of Peter S. Cohan & Associates, a management consulting and venture capital firm, and a Professor of Management at Babson College. He has no financial interest in Google.
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Reader Comments (Page 1 of 1)
10-17-2006 @ 11:25AM
Gary E. Sattler said...
I must make you aware of a developing situation.
I am entertaining the possibility of being syndicated to write for the moderate conservative capitalist sector. I have no other writing contract commitments to date.
If I accept such situation it would reduce or eliminate my presence on Blogging Stocks. The trade off would be that I'd be better serving my target audience and I'd be in better position to do battle with entities which I see as harmful to your investment needs.
You'd still be able to find me. You'd just web search my name.
But I wouldn't use Google.
My tests show their results to be... shall we say, interesting.
I'll be around.
Gary E. Sattler
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10-17-2006 @ 11:34AM
Gordon Anderson said...
Don't kid yourself -this isn't just a move for the environment by Google,but another area of future interest for this very innovative and forward thinking company. If you can help others while helping yourself then do it!