Analyzing policy support instruments and regulatory risk factors for wind energy deployment--A developers' perspective
A transition to a renewable energy system is high on the policy agenda in many countries. A promising energy source for a low-carbon energy future is wind. Policy-makers can attract wind energy development by providing attractive policy frameworks. This paper argues that apart from the level of financial support, both the risks stemming from the regulatory environment (legal security, administrative process and grid access) and the ability to finance projects play a critical role in determining the attractiveness of the development environment. It sheds light on how project developers trade off these different aspects and to what extent the attractiveness of a certain policy framework increases with the introduction of specific measures. Conjoint analysis is employed to provide empirical evidence on the preference of wind energy developers in the EU and the US. The analysis shows that developers' preferences are very similar across the studied regions and for different types of developers. Which policy measures could be most valuable depends on the specific existing environment. In some southeastern European countries, a reduction of administrative process duration may yield the highest utility gains, whereas, in the US, improvements in grid access regulation and an increase in remuneration levels may be more effective.
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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- Jobert, Arthur & Laborgne, Pia & Mimler, Solveig, 2007. "Local acceptance of wind energy: Factors of success identified in French and German case studies," Energy Policy, Elsevier, vol. 35(5), pages 2751-2760, May.
- Johnston, A. & Amalia, A. & Neuhoff, K., 2007.
"Take-or-pay contracts for Renewables Deployment,"
Cambridge Working Papers in Economics
0723, Faculty of Economics, University of Cambridge.
- Wustenhagen, Rolf & Wolsink, Maarten & Burer, Mary Jean, 2007. "Social acceptance of renewable energy innovation: An introduction to the concept," Energy Policy, Elsevier, vol. 35(5), pages 2683-2691, May.
- Barradale, Merrill Jones, 2010. "Impact of public policy uncertainty on renewable energy investment: Wind power and the production tax credit," Energy Policy, Elsevier, vol. 38(12), pages 7698-7709, December.
- Dinica, Valentina, 2008. "Initiating a sustained diffusion of wind power: The role of public-private partnerships in Spain," Energy Policy, Elsevier, vol. 36(9), pages 3562-3571, September.
- Langniss, Ole, 1996. "Instruments to foster renewable energy investments in Europe a survey under the financial point of view," Renewable Energy, Elsevier, vol. 9(1), pages 1112-1115.
- Peter J. Lenk & Wayne S. DeSarbo & Paul E. Green & Martin R. Young, 1996. "Hierarchical Bayes Conjoint Analysis: Recovery of Partworth Heterogeneity from Reduced Experimental Designs," Marketing Science, INFORMS, vol. 15(2), pages 173-191.
- Agterbosch, Susanne & Vermeulen, Walter & Glasbergen, Pieter, 2004. "Implementation of wind energy in the Netherlands: the importance of the social-institutional setting," Energy Policy, Elsevier, vol. 32(18), pages 2049-2066, December.
- Enzensberger, N. & Wietschel, M. & Rentz, O., 2002. "Policy instruments fostering wind energy projects--a multi-perspective evaluation approach," Energy Policy, Elsevier, vol. 30(9), pages 793-801, July.
- Wiser, Ryan H., 1997. "Renewable energy finance and project ownership : The impact of alternative development structures on the cost of wind power," Energy Policy, Elsevier, vol. 25(1), pages 15-27, January.
- Dean A. Shepherd & Andrew Zacharakis, 1999. "Conjoint analysis: A new methodological approach for researching the decision policies of venture capitalists," Venture Capital, Taylor & Francis Journals, vol. 1(3), pages 197-217, July.
- Kirt C Butler & Domingo Castelo Joaquin, 1998. "A note on political risk and the required return on foreign direct investment," Journal of International Business Studies, Palgrave Macmillan, vol. 29(3), pages 599-607, September.
- Toke, David & Breukers, Sylvia & Wolsink, Maarten, 2008. "Wind power deployment outcomes: How can we account for the differences?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 12(4), pages 1129-1147, May.
- Wiser, Ryan & Pickle, Steven & Goldman, Charles, 1997. "Renewable energy and restructuring: policy solutions for the financing dilemma," The Electricity Journal, Elsevier, vol. 10(10), pages 65-75, December.
- Wiser, Ryan H. & Pickle, Steven J., 1998. "Financing investments in renewable energy : the impacts of policy design," Renewable and Sustainable Energy Reviews, Elsevier, vol. 2(4), pages 361-386, December.
- Valentine, Scott Victor, 2010. "A STEP toward understanding wind power development policy barriers in advanced economies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(9), pages 2796-2807, December.
- Peter E. Rossi & Greg M. Allenby, 2003. "Bayesian Statistics and Marketing," Marketing Science, INFORMS, vol. 22(3), pages 304-328, July.
- Prados, María-José, 2010. "Renewable energy policy and landscape management in Andalusia, Spain: The facts," Energy Policy, Elsevier, vol. 38(11), pages 6900-6909, November.
- Daniel McFadden, 1986. "The Choice Theory Approach to Market Research," Marketing Science, INFORMS, vol. 5(4), pages 275-297.
- 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.
- Clark-Murphy, Marilyn & Soutar, Geoffrey N., 2004. "What individual investors value: Some Australian evidence," Journal of Economic Psychology, Elsevier, vol. 25(4), pages 539-555, August.
- Oded Netzer & Olivier Toubia & Eric Bradlow & Ely Dahan & Theodoros Evgeniou & Fred Feinberg & Eleanor Feit & Sam Hui & Joseph Johnson & John Liechty & James Orlin & Vithala Rao, 2008. "Beyond conjoint analysis: Advances in preference measurement," Marketing Letters, Springer, vol. 19(3), pages 337-354, December.
- Dinica, Valentina, 2006. "Support systems for the diffusion of renewable energy technologies--an investor perspective," Energy Policy, Elsevier, vol. 34(4), pages 461-480, March.
- Swider, Derk J. & Beurskens, Luuk & Davidson, Sarah & Twidell, John & Pyrko, Jurek & Prüggler, Wolfgang & Auer, Hans & Vertin, Katarina & Skema, Romualdas, 2008. "Conditions and costs for renewables electricity grid connection: Examples in Europe," Renewable Energy, Elsevier, vol. 33(8), pages 1832-1842.
When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:39:y:2011:i:9:p:4876-4892. 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: (Zhang, Lei)
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.