Advanced Search
MyIDEAS: Login to save this paper or follow this series

Have State Renewable Portfolio Standards Really Worked?: Synthesizing Past Policy Assessments

Contents:

Author Info

  • Gireesh Shrimali
  • Steffen Jenner
  • Felix Groba
  • Gabriel Chan
  • Joe Indvik

Abstract

Renewable portfolio standards (RPS) are the most popular U.S. state-level policies for promoting deployment of renewable electricity (RES-E). While several econometric studies have estimated the effect of RPS on in-state RES-E deployment, results are contradictory. We reconcile these studies and move toward a definitive answer to the question of RPS effectiveness. We conduct an analysis using time series cross sectional regressions - including the most nuanced controls for policy design features to date - and nonparametric matching analysis. We find that higher RPS stringency does not necessarily drive more RES-E deployment. We examine several RPS design features and market characteristics (including REC unbundling, RPS in neighboring states, out-of-state renewable energy purchases) that may explain the gap between effective and ineffective policies. We also investigate other RES-E policies and technology-specific effects. Ultimately, we show that RPS effectiveness is largely explained by a combination of policy design, market context, and inter-state trading effects.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.412667.de/dp1258.pdf
Download Restriction: no

Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 1258.

as in new window
Length: 40 p.
Date of creation: 2012
Date of revision:
Handle: RePEc:diw:diwwpp:dp1258

Contact details of provider:
Postal: Mohrenstraße 58, D-10117 Berlin
Phone: xx49-30-89789-0
Fax: xx49-30-89789-200
Email:
Web page: http://www.diw.de/en
More information through EDIRC

Related research

Keywords: Renewable energy; Renewable portfolio standards; Panel data models; Matching analysis;

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Lori Snyder Bennear, 2007. "Are management-based regulations effective? Evidence from state pollution prevention programs," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 26(2), pages 327-348.
  2. Delmas, Magali A. & Montes-Sancho, Maria J., 2011. "U.S. state policies for renewable energy: Context and effectiveness," Energy Policy, Elsevier, vol. 39(5), pages 2273-2288, May.
  3. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
  4. Shrimali, Gireesh & Kniefel, Joshua, 2011. "Are government policies effective in promoting deployment of renewable electricity resources?," Energy Policy, Elsevier, vol. 39(9), pages 4726-4741, September.
  5. Dong, C.G., 2012. "Feed-in tariff vs. renewable portfolio standard: An empirical test of their relative effectiveness in promoting wind capacity development," Energy Policy, Elsevier, vol. 42(C), pages 476-485.
  6. J. A. Hausman, 1976. "Specification Tests in Econometrics," Working papers 185, Massachusetts Institute of Technology (MIT), Department of Economics.
  7. Menz, Fredric C. & Vachon, Stephan, 2006. "The effectiveness of different policy regimes for promoting wind power: Experiences from the states," Energy Policy, Elsevier, vol. 34(14), pages 1786-1796, September.
  8. Felix Groba & Joe Indvik & Steffen Jenner, 2011. "Assessing the Strength and Effectiveness of Renewable Electricity Feed-in Tariffs in European Union Countries," Discussion Papers of DIW Berlin 1176, DIW Berlin, German Institute for Economic Research.
  9. Carley, Sanya, 2009. "State renewable energy electricity policies: An empirical evaluation of effectiveness," Energy Policy, Elsevier, vol. 37(8), pages 3071-3081, August.
  10. Thomas P. Lyon & Haitao Yin, 2010. "Why Do States Adopt Renewable Portfolio Standards?: An Empirical Investigation," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 133-158.
  11. António Marques & José Fuinhas & José Manso, 2011. "A Quantile Approach to Identify Factors Promoting Renewable Energy in European Countries," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 49(3), pages 351-366, July.
  12. Nemet, Gregory F., 2006. "Beyond the learning curve: factors influencing cost reductions in photovoltaics," Energy Policy, Elsevier, vol. 34(17), pages 3218-3232, November.
  13. Alagappan, L. & Orans, R. & Woo, C.K., 2011. "What drives renewable energy development?," Energy Policy, Elsevier, vol. 39(9), pages 5099-5104, September.
  14. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
  15. Marques, António C. & Fuinhas, José A. & Pires Manso, J.R., 2010. "Motivations driving renewable energy in European countries: A panel data approach," Energy Policy, Elsevier, vol. 38(11), pages 6877-6885, November.
  16. Alberto Abadie & Alexis Diamond & Jens Hainmueller, . "Synth: An R Package for Synthetic Control Methods in Comparative Case Studies," Journal of Statistical Software, American Statistical Association, vol. 42(i13).
  17. Salim, Ruhul A. & Rafiq, Shuddhasattwa, 2012. "Why do some emerging economies proactively accelerate the adoption of renewable energy?," Energy Economics, Elsevier, vol. 34(4), pages 1051-1057.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Fell, Harrison & Linn, Joshua & Munnings, Clayton, 2012. "Designing Renewable Electricity Policies to Reduce Emissions," Discussion Papers dp-12-54, Resources For the Future.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:diw:diwwpp:dp1258. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bibliothek).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.