China, Norway, and the US thrive on cheap energy while Germany stalls

China, Norway, and the United States are leveraging cheap energy to drive their cleantech advancements, while countries like Germany are slowing down progress by making energy more expensive. This situation highlights the dependency of cleantech on affordable energy sources, as vital components such as mining and manufacturing require reliable, low-cost power. Many mining operations occur in regions with unstable grids, leading to continued reliance on diesel fuel despite the goal of a clean transition. China’s approach has already demonstrated a successful case study in this regime, where electric vehicles have reached lower price points due to cheap manufacturing costs fueled by inexpensive energy sources. This contrasts starkly with the heavy tariffs imposed by the US and Canada on affordable electric vehicles from China, illustrating an impediment to global emission reduction efforts. Both countries are facing a dilemma with policies that obstruct access to low-cost electric vehicles, which could benefit consumers financially and environmentally. Moreover, maintaining low energy costs is critical for countries aiming to lead in electric vehicle adoption. Norway has recognized this importance and suggested cutting its power links with other nations to prevent high energy decisions by European governments from hindering its progress. Conversely, a significant number of German industrial companies are cutting back on their investments in low-emission technologies, largely due to the soaring energy costs affecting their operations. As the world faces a high-rate environment, many renewable energy companies have struggled, leading to declining stock prices. Countries that favor renewable development are often in low-rate conditions, a scenario that can be achieved through energy abundance. Thus, a clear strategy for countries looking to enhance their cleantech sectors involves embracing low-cost energy sources to ensure smooth transitions away from fossil fuels while progressing towards an environmentally friendly future.