Investment Focus


Energy

 

Overview

Demand for energy is at its historic high and continues to grow dramatically.  At the same time, governments worldwide are working to quickly and dramatically reduce carbon emissions from fossil fuels.  Last year, 80% of US power was generated from fossil fuels, and over 60% was lost to system inefficiencies at a cost of $1.2 trillion to the U.S. economy.

 

Our Approach

Renova's energy investment strategy works to reduce these system inefficiencies through the build-out of a 21st-century electric grid, production of low-carbon transportation fuels, and the development of ultra-efficient buildings in which to live and work.

 

Energy plays a vital role in modern society, enabling systems that meet basic human needs, improve standards of living, and provide mobility to populations. As populations and economies grow, demand for energy is ever increasing.  In the face of constant growth, economic and market pressures, along with political and regulatory mandates,  the North American energy sector is being required to do more with less while still reducing costs, improving reliability, guaranteeing security, and minimizing carbon emissions.  These economic requirements and social mandates can only be achieved with fundamental changes in the way the we generate, manage, deliver, and consume energy.  Substantial investment opportunities continue to present themselves as the energy sector searches for solutions in a landscape of rapid technological innovation and a changing system thinking.

 
 

United States Energy Snapshot


U.S. CO2 Emissions By Source

32% Buildings  -  37% Power  - 31% Transportation

 

100

Quadrillion BTUs ("Quads") of energy produced in the US last year. 

 

80% 

The Amount of that energy that was generated from fossil fuels. 

 

60% 

The amount of that energy that was wasted to system inefficiencies. 

 

$1.2 Trillion

The cost of those losses to the US Economy. 

 

D+

Grade assigned by the ASCE to the condition of US energy infrastructure.

 

$100 Billion

Expected annual investment gap in energy infrastructure in the US by 2020.

 


 

Water

 

Overview

Over 7 billion gallons of water are lost to leaky municipal pipes every day in the US - enough water to support 80 million people.   Compounding the problem, over 50% of water consumed in the US is used just to produce feed for livestock.

 

Our Approach

Renova’s water investment strategy seeks to help to repair, replace and upgrade municipal infrastructure, and to propagate innovative  agricultural technologies and methods to reduce water consumption and improve efficiency across the sector.  

 

Demand for water touches every corner of every community.  A 2016 study published in the journal Science Advances estimates that over 4 billion people currently face severe water shortages every year.  The World Economic Forum's most recent report lists the ongoing global water crisis as one of the top three risks the world will face over the next decade, alongside climate change and mass migration.  Water resource pressures are now severely impacting populations in many regions of even the wealthiest countries. Significant opportunities exist for private investment to dramatically improve water efficiency, conservation, reliability, and quality across both the built environment and the natural world.

 
 

United States Water Snapshot


 

Water Use in the US by User Group

77% Agricultural  -  23% Municipal

2.4 Trillion  —

Gallons of water lost in the US every year to leaky municipal pipes. 

 

D-

Grade assigned by the ASCE to the condition of US water infrastructure

 

$1 Trillion  —

AWWA estimated cost to repair and replace leaking municipal pipes

 

1,885  —

Gallons of water required to produce one pound of beef

 

50%  — 

Amount of US crops dedicated to feeding animals