Energy Return on Energy Invested (EROEI) analysis assesses the ratio of usable energy delivered from a particular energy resource to the energy used in its discovery, development, extraction, processing, and delivery to end users. For instance, if a process yields 10 units of energy after expending 1 unit, the EROEI is 10:1. A higher ratio indicates greater energy efficiency and potential profitability.
This metric is essential for understanding the net energy gain from different resources and informing energy policy decisions. Historically, readily accessible fossil fuels boasted high EROEI values, fueling industrial growth. However, as these resources deplete and extraction becomes more complex, their EROEI tends to decline. Evaluating and comparing the EROEI of emerging renewable and non-renewable energy technologies is crucial for a sustainable energy future. This analysis supports strategic investment in resources and technologies with the highest potential returns.
