In today’s Exponential Investor

  • Welcome to Green Tech Week
  • A bit on the nose
  • Four-times hotter than the Sun

What is the holy grail of energy?

The most sought-after outcome when it comes to powering the world around us?

The answer is very simple.

Cheaper energy that’s less harmful to the environment. Or even better, free energy that has absolutely no impact on the environment whatsoever.

At this point it’s very important to also clear something up.

It does not matter whether you think that climate change is a legitimate “thing” or not.

It does not matter if you think the polar ice caps will melt within the next couple of years or if you think that’s a total crock of horse poo.

What no one can deny is that something that does little or no harm to the world we live in, is better than something that does a lot of harm.

If the outcome is a net benefit to everyone on the planet and also helps save money in the old hip pocket, surely that’s a pursuit worth following.

The good news is that finally (it’s only taken a couple of thousand years to properly realise it) we might have the tools and the motivation to actually make it happen.

In doing so you’re also sitting at the cusp of one of the biggest, wide-sweeping investment opportunities the world has ever seen.

What to expect this week

We’ve decided to hijack Exponential Investor this week.

The reason is simple: we think that it’s time to focus in on the “Green Tech” revolution that’s sweeping across the world right now.

This week we’re going to be dialling in on some of the biggest changes taking place that aim to deliver a cleaner, greener world while at the same time making energy more accessible, cheaper and ultimately more profitable for the companies doing it.

You can expect us to take a look at the energy impact of bitcoin, the huge resources being put into hydrogen power, even a look at the often maligned geothermal industry.

But there’s something else I wanted to highlight to you today, something that I’ve followed for the better part of two decades.

It’s a green energy technology that is a bit “on the nose”. It’s a technology that investors should be giving serious consideration to because it’s one of the most efficient, cheapest and “greenest” energy source we have in the world.

Let’s go nuclear (again)

About two and a half years ago I wrote a piece to my subscribers in Revolutionary Trend Investor.

I was taking aim at the energy industry, talking about the future for renewable energy and the often castigated area of nuclear power.

I wrote,

… when it comes to petroleum stocks, we think the end is nigh.

Love it or loathe it, you can’t deny that renewable energy is the future. You don’t even have to buy into the whole idea of global warming, you just have to understand this is a future mega-trend that’s not going to stop.

We’re not suggesting that oil and gas won’t play a role in that future, it just won’t be as big as it is today. Nowhere near as big…

When we’ll reach this energy tipping point is anyone’s guess. Some say we’ve already passed it, others scoff that it is decades away. We don’t think we’re there yet, we think there’s a few more big hurdles to come. In particular is the development of safer nuclear power – such as power from nuclear waste – and of course the elusive silver bullet – fusion power.

What’s the first thing you think of when you hear “nuclear power”?

I’ll tell you what comes to my mind (and I know better):

  • Chernobyl (brought back to the forefront of mind thanks to Sky One)
  • Fukushima
  • Hiroshima (even though it was nothing really to do with nuclear power)
  • Chinese-built reactors getting canned in the UK.

In short, nothing good.

But as I say, I know better. I know that nuclear power is incredibly efficient. I know that it’s incredibly safe. I know that it’s far less damaging to the planet than the coal plants that continue to be funded around the world.

But nuclear has a bad PR problem. Or at least, nuclear fission (the process by which current nuclear power is created) has a PR problem.

There may be around this, however. A way around that seems to always be another ten years away but now might actually be closer than ten years away.

The way I see it, is that the future of abundant energy lies in thermonuclear fusion.

The detailed physics of how it all works are far too complicated to explain here. But the key thing you need to know is that it’s safer than nuclear fission, as it doesn’t produce radioactive waste.

This means in the event of an accident, there wouldn’t be a repeat of Chernobyl or Fukushima.

Not only that, but thermonuclear fusion can generate about four times as much energy as current fission. Advances in the science mean that it could be the best source of energy the world has within the next ten years.

Right now, literally as you read this, there are companies in the UK breaking new ground in the quest for nuclear fission energy.

Tokamak Energy, based in Oxfordshire, is expecting to generate plasma in its reaction reaching 100 million degrees. That’s roughly four-times hotter than the surface of the sun.

If Tokamak Energy can achieve it, it will be the first time a privately owned company will have ever achieved such a milestone.

It’s a huge step towards being able to harness a safe, but ultimately unlimited power supply for the world. And Tokamak Energy is exactly the kind of company (albeit private) that you should keep a very close eye on in the future.


Sam Volkering
Editor, Exponential Investor