Alternative Energy

I have always preferred to own oil and gas companies over stocks related to alternative energy. Mostly because alternative energy companies are highly dependent on the federal government for subsides to run a profitable business. Now many solar companies are publicly traded and less dependent on the government. The best way to play the growth of solar energy is to own MEMC Electronics (WFR). They manufacture the polysilicon for solar panels.

My second alternative energy stock is NRG Energy (NRG). NRG develops and manages power plants. The US power grid will need to be updated and NRG stands to benefit. NRG is a diverse company with operations ranging from energy trading, distribution, and generation. NRG will be a key player in the "clean coal" IGCC initiative as well as nuclear power.

Note: As of 7/16/07 I have no position in NRG or WFR