NSIM

The word solar is derived from the Latin word sol (the sun, the Roman sun god) and refers to things and methods that relate to the sun. The solar industry is all the companies who supply the products as a subcontractor for the manufacture of solar cells or which are integrated into the manufacturing and distribution process itself. These are companies and manufacturers who have opened up the entire value chain, and others who carry out only part of the process such as panel manufacturing, engineering (photovoltaic systems), power plants (solar thermal), etc.

Solar energy - is the energy of the sun. The sun radiates about as much energy per second on our planet as would be released during combustion of 200,000 billion tonnes of coal. That‘s more than 10,000 times the present world energy consumption. The sun provides the earth with two main types of radiant energy: heat and light. The solar radiation that reaches us, a large part already been absorbed by the atmosphere or reflected, is composed of visible light and UV rays that cannot be seen but can be felt, due to the heat they generate, for instance the infamous sunburn. Some solar systems make use of heat, others transform the light radiation into electrical energy. Solar energy is also called "alternative or renewable energy“, i.e, it is an alternative to fossil fuels like oil, gas, coal, or nuclear power. When we talk about solar energy it means that the energy generated is produced directly from sunlight.

Edmond Becquerel, a French physicist, is the pioneer within this field; he discovered the photoelectric effect in 1839. He noted that certain materials can transform small amounts of sunlight into electricity As at the beginning of the 20th Century Albert Einstein discovered the photoelectric effect and developed the quantum theory which is the basis of the development of the photovoltaic solar cells. Einstein observed that electrical current was created when light strikes a metal surface. The world‘s first solar collector was built by Horace de Saussare, a Swiss scientist, in 1767. The first solar cells were built in 1880 (with an efficiency of 1-2%), more advanced solar cells were developed in the 1950s and 1960s for the space program, this served as an ideal energy source, but were not for general use due to the high production costs and low efficiency in comparison to the then more economical conventional forms of electricity production.

The first solar cells were produced in the 1970s for general use; they were produced as a reaction to the increased interest in alternative energy sources and increasing demand on energy. Technological developments since then have led to improved efficiency and falling production costs. The solar technology has advanced dramatically, from a single solar cell to solar panels which can supply entire cities with power.

Why invest in solar energy?

The energy suppliers are the largest investors in renewable energy, due to commitments by energy companies, to invest a minimum proportion of their turnover into renewable energy.
These requirements may be realized either by building or by purchasing renewable energy projects or by buying CO2 allowances.
Institutional investors such as Pension Funds and Mutual Funds are also major investors in renewable energy due to the fact these assets are longterm with reliable cash flows.