Advanced Search
MyIDEAS: Login

It Should Be a Breeze: Harnessing the Potential of Open Trade and Investment Flows in the Wind Energy Industry

Contents:

Author Info

  • Jacob Funk Kirkegaard

    ()
    (Peterson Institute for International Economics)

  • Thilo Hanemann

    (Rhodium Group)

  • Lutz Weischer

    ()
    (World Resources Institute)

Abstract

This working paper maps out the structure and value chains of the wind industry, analyzes the wind industry's increasing global integration via cross-border trade and investment flows, and offers recommendations to policymakers for the design of investment and trade policies to help realize wind energy's potential. We find that demand for wind energy through longterm government support policies creates the basis for local supply of wind capital equipment and services and associated local job creation; policies that put a price on carbon will further help to make wind energy more competitive and increase the overall demand for turbines and equipment. Cross-border investment rather than trade is the dominant mode of the wind industry's global integration. Principal barriers to global integration are nontariff trade barriers and formal and informal barriers that distort firms' investment decisions. These include local content requirements, divergent national industrial standards and licensing demands, and in particular political expectations. Intellectual property accounts for only a very small part of cost in the wind industry, and wind technology is widely available for licensing. Intellectual property rights are correspondingly not a major impediment for market participation. Credible long-term commitments coupled with a reduction or elimination of existing barriers to cross-border trade and investment are necessary to harness the full potential of global integration in reducing wind industry prices and increase worldwide deployment of wind energy.

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.piie.com/publications/wp/wp09-14.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Peterson Institute for International Economics in its series Working Paper Series with number WP09-14.

as in new window
Length:
Date of creation: Dec 2009
Date of revision:
Handle: RePEc:iie:wpaper:wp09-14

Contact details of provider:
Postal: 1750 Massachusetts Avenue, NW, Washington, DC 20036-1903
Phone: 202-328-9000
Fax: 202-659-3225
Email:
Web page: http://www.piie.com
More information through EDIRC

Related research

Keywords: Wind Energy; Renewable Energy Subsidies; Energy Policy; Global Industry Integration; Foreign Direct Investment; Carbon Emissions; Climate Change;

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

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

Cited by:
  1. Bolinger, Mark & Wiser, Ryan & Darghouth, Naïm, 2010. "Preliminary evaluation of the Section 1603 treasury grant program for renewable power projects in the United States," Energy Policy, Elsevier, vol. 38(11), pages 6804-6819, November.
  2. Arnaud De La Tour & Matthieu Glachant & Yann Ménière, 2011. "Innovation and international technology transfer: The case of the Chinese photovoltaic industry," Post-Print hal-00498578, HAL.
  3. Lema, Rasmus & Berger, Axel & Schmitz, Hubert, 2013. "China's Impact on the Global Wind Power Industry," MPRA Paper 49604, University Library of Munich, Germany.
  4. Matthieu Glachant, 2013. "Greening Global Value Chains: Innovation and the International Diffusion of Technologies and Knowledge," OECD Green Growth Papers 2013/5, OECD Publishing.
  5. Mani, Muthukumara S., 2012. "Assessing the investment climate for climate investments : a comparative framework for clean energy investments in South Asia in a global context," Policy Research Working Paper Series 6211, The World Bank.

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:iie:wpaper:wp09-14. 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: (Peterson Institute webmaster).

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.