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A paradox regarding economic support to deploy renewable energy technologies

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  • Kosugi, Takanobu

Abstract

From an economic viewpoint, a larger reduction in the level of economic support to facilitate renewable energy installations, e.g., the purchase price of renewable electricity under a feed-in tariff scheme, is not necessarily rational in accordance with a larger decline in the observed cost of the installation, if the expected cost decline of the renewable technology is to be revised in response to the newest statistical data observed during each passing time period. This paper demonstrates this point through an analysis of a case of Japanese photovoltaic power generation deployment.

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  • Kosugi, Takanobu, 2013. "A paradox regarding economic support to deploy renewable energy technologies," Energy Policy, Elsevier, vol. 61(C), pages 1111-1115.
    • Handle: RePEc:eee:enepol:v:61:y:2013:i:c:p:1111-1115
    DOI: 10.1016/j.enpol.2013.06.132
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    4. Sabine Messner, 1997. "Endogenized technological learning in an energy systems model," Journal of Evolutionary Economics, Springer, vol. 7(3), pages 291-313.
    5. Terry Barker, Haoran Pan, Jonathan Kohler, Rachel Warren, and Sarah Winne, 2006. "Decarbonizing the Global Economy with Induced Technological Change: Scenarios to 2100 using E3MG," The Energy Journal, International Association for Energy Economics, vol. 0(Special I), pages 241-258.
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    Cited by:

    1. Andreas Welling, 2017. "Green Finance: Recent developments, characteristics and important actors," FEMM Working Papers 170002, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management.

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