Infrastructure Investing and National Defense

Inflation, skyrocketing oil prices, and general market turmoil have dominated the headlines. 

That means you may have missed a story that’s going to have a huge effect on the energy market. 

President Biden recently used his executive powers to ramp up domestic production of solar panels and their parts. He also issued a 24-month tariff exemption on imports of the products from several countries. 

This was done through the Defense Production Act. This law allows the president to mobilize resources and the production of domestic companies to meet the needs of key aspects of national security and defense. 

And it makes sense that national defense is being used as the reason for this news. As we’ve pointed out in these pages before, America is forced to source key energy-generating materials from countries we can’t trust. 

This action by the Biden administration is a big step in meeting its goal of overhauling the country’s energy infrastructure. We’re moving the country toward energy independence. We want to be less reliant on countries like Russia for oil and countries like China for solar panels. 

The fact that the order specifically names solar panels as part of its efforts comes as a relief to the industry. For the last two months, hundreds of solar panel projects have been stalled because the developers didn’t know if they’d have to pay billions of dollars in tariffs. 

With tariffs on panels from Cambodia, Malaysia, Thailand, and Vietnam being waived, those developers can get back to work. The Commerce Department had been investigating whether developers were dodging tariffs by importing Chinese panels through these four countries. Large parts of the solar industry and the jobs it supports were at risk. 

Now, those developers can not only continue their projects but expand them in order to meet future demand. 

The goal is to build a stronger grid that integrates modern energy-generating technology. 

It will also provide power more efficiently than what we use now. With oil prices and natural gas prices climbing, it’s encouraging to see something being done that addresses both climate change and energy security. 

And with a large undertaking like this, there are tons of investment opportunities if you know where to look. 

The obvious choice would be the companies that make the grid components. Between the general push for clean energy and the president’s recent actions, companies that make panels, heat pumps, transformers, and other devices are set to do very well. 

Solving problems in the energy market.

And while those may prove to be good long-term investments, I’ve found a play where you can put your money into the infrastructure itself. 

This overhaul of the electrical grid is going to bring it into the 21st century. That means using software to manage the panels, transformers, electric vehicles, and everything else connected to the grid. 

This modernized grid is going to be more complex than the one we have now. The company that provides the best solution for managing it all will be the one that corners this market in the future. 

One company is in position to do just that. It offers a software solution for virtual power plant management that means power grids are secure and always online no matter what the conditions are. 

We’ve seen a lot of stories lately of grids going dark and thousands of people being left without power. This company is going to change that and make investors rich while doing it. 

It’s a profit-making opportunity not many people know about. And it may be one of the few that thrives no matter what else the market is doing.

Ryan Stancil

Ryan Stancil
Editor, Daily Profit Cycle