Banking on alternative energy

Filed in archive Opinion on June 16, 2006

Somehting to ask, if a national company wanted to develope and implement an alternative energy resource, why wouldn't banks want to help?



Recently I came accross an article, http://www.enn.com/alt.html?id=504, that tells a sad story, China, India and Brazil wished to retrofit thier wasteful energy technology to decrease waste by as much as 25%, but banks have been sluggish to loan money to companies and countries that wish to do this. All I can ask is Why?



Profit wise, energy use reduction could decrease the cost of maintaining an infrastructure and increase money in the bank. But alas it seems even the banks are having a hardtime ignoring Big Oil. Big Oil finances partially through banks and could possibly set standards that banks cannot favor a competitive edge.



Is it just me or does this seem a little illegal. So I did a little research, and found that very few companies that have innovative ideas in the alternative energy market are normaly shunned by banks and have to aquire thier startup money somewhere else.



Its like asking a bank to loan money for drug use, they just don't do it.



I have a message to the banking industry, if the world's oil supply evaporates tommorrow, will you then think about loaning a few bucks to industry that wants to save money and make faster payments?

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