Have you been grinding your teeth all year wishing you had a forum to tell it like it is on who is helping or hurting the adoption of sustainable solutions to economic growth and enhanced human health? Here is your chance! The following are some of my observations. But more importantly, post what you think in the comments section below this article.
2014 also saw milestone growth in the green economic revolution: American consumers, lead by the millennial generation, are buying into a green economic revolution that in 2014 generated trillions of dollars in global commerce and investments. But the question raised in 2014 is whether this green economic revolution will be a case of too little, too late.
So, with these conflicting results who were 2014's sustainability winners and losers?
Solar. Solar's 70 percent price drop was the sustainability story of 2014. Deutsche Bank issued a 2014 report projecting that this price decline pace will make rooftop solar price-competitive with utility-supplied electricity in all but three states by 2016. 2014 found homeowners in states like California and Hawaii reducing their electric bills by approximately 40 percent with zero onsite emissions from installing rooftop solar. 2014 also marked significant steps toward Zero Net Energy (ZNE) building designs driven by California’s adoption of ZNE building codes. Enabling this mega-shift was economies-of-scale implementation in battery and smart-building technologies that hold the potential to duplicate solar’s path to price competitiveness.
Organic food. Consumers cannot correctly define how a food is “organic,” but they are buying it at a record pace driven by their growing awareness of the link between industrial foods and the obesity/diabetes epidemic. The consumer’s tsunami shift toward healthier foods is driving down the sales of McDonald's and Coca-Cola while propelling the stock values of Chipotle and Krogers to record levels.
CAFE regulations. The American consumer, along with China, are the two forces driving down the price of oil and pump price pain. Americans are buying more fuel-efficient vehicles in large part due to CAFE regulations that mandate higher “fleet” MPG results for automobile manufacturers. This increased fuel efficiency is reducing oil demand and forcing oil suppliers to slash prices to maintain marketshare. CAFE regulations are achieving their goal of reducing consumer costs and global warming emissions.
Elon Musk. 2014 marked the year Musk became the poster person for the green economic revolution. His vision for rooftop solar and electric cars has achieved commercial success. He is being joined by a growing number of CEOs with companies like Apple, Walmart and Ford that are using sustainable best practices to cut costs, grow product sales and reduce environmental impacts.
Millennials. The most recent national election was won by “none of the above.” Sixty-six percent of voters did not vote. The millennial generation was a no-show. Their non-participation in 2014 may make them losers in terms of how Congress addresses their core desire for a sustainable future.
Electric utility industry. The electric utility industry has made revenue preservation their strategic issue as solar, batteries and Zero Net Energy building technologies gain price competitiveness. 2014 marked a clear push by the industry to protect their revenues through rate designs that erode the ability of clean technologies to compete on price. Except for a few utilities, the industry is using its political power and regulatory expertise to insure that the electricity used in the U.S. flows through their meters and that this electricity will mostly be generated through their fossil-fueled power plants that are significant sources of climate changing greenhouse gases.
Boomer generation. While their children are in pursuit of a sustainable future, the boomer generation is stumbling toward massive government subsidies because they have failed to save for their retirement. The boomer generation also continues to be the largest consumer group for full-size pickup trucks and higher MPG vehicles. Seventy-five percent of boomers did vote during the last election as they look to government to sustain their lack of prudence in personal finance and environmental impacts.
Congress. Is this kicking an obvious dead horse? Less than 10 percent of us believe Congress is doing a good job. 2014 was a Congressional non-event in terms of legislation supportive of a sustainable economy and environment. With the massive lobbying by entrenched industries, the fear is that 2015 could produce legislation that erodes the path to price competitiveness for sustainable technologies and best practices.
Image credit: Flickr/madmarv
Bill Roth is an economist and the Founder of Earth 2017. He coaches business owners and leaders on proven best practices in pricing, marketing and operations that make money and create a positive difference. His book, The Secret Green Sauce, profiles business case studies of pioneering best practices that are proven to win customers and grow product revenues. Follow him on Twitter: @earth2017
Founder of Earth 2017. Author of The Boomer Generation Diet: Lose Weight. Have Fun. Live More that Jen Boynton, Editor in Chief of Triple Pundit , says is "Written in Bill Roth's lovable, relatable tone. A must read for any Boomer who is looking to jumpstart their health and have fun at the same time. I hope my parents read it. "