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UK Renewable Energy Policy Since Privatisation

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  • Pollitt, M.G.

Abstract

The aim of this paper is to look at the UK’s renewable energy policy in the context of its overall decarbonisation and energy policies. This will allow us to explore the precise nature of the ‘failure’ of UK renewables policy and to suggest policy changes which might be appropriate in light of the UK’s institutional and resource endowments. Our focus is on the electricity sector both in terms of renewable generation and to a lesser extent the facilitating role of electricity distribution and transmission networks. We will suggest that the precise nature of the failure of UK policy is rather more to do with societal preferences and the available mechanisms for encouraging social acceptability than it is to do with financial support mechanisms. Radical changes to current policy are required, but they must be careful to be institutionally appropriate to the UK. What we suggest is that current policies exhibit an unnecessarily low benefit to cost ratio, and that new policies for renewable deployment must pay close attention to cost effectiveness.

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Bibliographic Info

Paper provided by Faculty of Economics, University of Cambridge in its series Cambridge Working Papers in Economics with number 1007.

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Date of creation: 29 Jan 2010
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Handle: RePEc:cam:camdae:1007

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Web page: http://www.econ.cam.ac.uk/index.htm

Related research

Keywords: Renewable electricity; Feed-in-Tariff; Renewable Obligation;

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Cited by:
  1. Woo, C.K. & Zarnikau, J. & Moore, J. & Horowitz, I., 2011. "Wind generation and zonal-market price divergence: Evidence from Texas," Energy Policy, Elsevier, Elsevier, vol. 39(7), pages 3928-3938, July.
  2. Nolden, Colin, 2013. "Governing community energy—Feed-in tariffs and the development of community wind energy schemes in the United Kingdom and Germany," Energy Policy, Elsevier, Elsevier, vol. 63(C), pages 543-552.
  3. Roger Fouquet, 2010. "The Slow Search for Solutions: Lessons from Historical Energy Transitions by Sector and Service," Working Papers, BC3 2010-05, BC3.
  4. Chi-Keung Woo, Ira Horowitz, Brian Horii, Ren Orans, and Jay Zarnikau, 2012. "Blowing in the Wind: Vanishing Payoffs of a Tolling Agreement for Natural-gas-fired Generation of Electricity in Texas," The Energy Journal, International Association for Energy Economics, International Association for Energy Economics, vol. 0(Number 1).
  5. Pere Mir-Artigues, 2013. "The Photovoltaic Crisis and the Demand-side Generation in Spain," Cambridge Working Papers in Economics, Faculty of Economics, University of Cambridge 1311, Faculty of Economics, University of Cambridge.
  6. Gabriela Elizondo Azuela & Luiz Barroso, 2014. "Promoting Renewable Energy through Auctions," World Bank Other Operational Studies 18674, The World Bank.

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