The Strategist

Tesla: Switching to green will be $4 trillion cheaper than keeping fossil fuel energy

04/07/2023 - 09:54

According to analysts at Tesla, switching to renewable energy would cost society roughly $10 trillion over the following 20 years, but using fossil fuels will be significantly more expensive. This is stated in a report on the switch to green energy released by Tesla on Wednesday, April 5.

The company's analysts estimate that if the current oil, gas, and coal-based energy system is preserved, it will cost $14 trillion, or $4 trillion more. Tesla’s creator Elon Musk noted that $10 trillion over 20 years would represent only 0.5% of the global economy.

A system of solar, wind, and other renewable power plants, as well as sizable energy storage facilities with lots of batteries and subterranean hydrogen storage facilities, are all necessary for the shift to green energy, the paper claims. 

The plan also entails construction of several facilities for the manufacture of solar panels, batteries for the storage of renewable energy, etc. In order to fit the new system, companies, houses and others will need to have their energy supply systems overhauled.