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Wind electricity in Denmark: A survey of policies, their effectiveness and factors motivating their introduction

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  • Agnolucci, Paolo

Abstract

This paper surveys the development of the policies supporting the introduction of wind electricity in Denmark in the last 15 years, with special attention to the new policy introduced after a 2-year long debate. The aim of this paper is to explore the roles of financial support, policy certainty and planning constraints in the diffusion of wind electricity in Denmark and the reasons prompting the change of the system in the current decade. It is discovered that political uncertainty has badly affected the effectiveness of the feed-in law in the years immediately after its introduction. With regard to the new system, it is concluded that the change has been prompted by generous conditions under the feed-in law and by the desire to facilitate the modernisation of old turbines. It is also concluded that incentive-based systems can be more effective than tradable quotas in promoting the modernisation of renewable plants. This finding is relevant to the development of energy policy in countries such as Germany and Spain, where the average age of wind turbines is much younger than those existing in Denmark.

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  • Agnolucci, Paolo, 2007. "Wind electricity in Denmark: A survey of policies, their effectiveness and factors motivating their introduction," Renewable and Sustainable Energy Reviews, Elsevier, vol. 11(5), pages 951-963, June.
    • Handle: RePEc:eee:rensus:v:11:y:2007:i:5:p:951-963
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    1. Roques, Fabien & Hiroux, Céline & Saguan, Marcelo, 2010. "Optimal wind power deployment in Europe--A portfolio approach," Energy Policy, Elsevier, vol. 38(7), pages 3245-3256, July.
    2. Nicolli, Francesco & Vona, Francesco, 2019. "Energy market liberalization and renewable energy policies in OECD countries," Energy Policy, Elsevier, vol. 128(C), pages 853-867.
    3. del Río, Pablo & Calvo Silvosa, Anxo & Iglesias Gómez, Guillermo, 2011. "Policies and design elements for the repowering of wind farms: A qualitative analysis of different options," Energy Policy, Elsevier, vol. 39(4), pages 1897-1908, April.
    4. Jonathan A. Cook & C.-Y. Cynthia Lin Lawell, 2020. "Wind Turbine Shutdowns and Upgrades in Denmark: Timing Decisions and the Impact of Government Policy," The Energy Journal, , vol. 41(3), pages 81-118, May.
    5. Evensen, Darrick & Sovacool, Benjamin K., 2024. "Political economy of low-carbon electricity: Governance effects across 198 countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 189(PB).
    6. Richard Green & Adonis Yatchew, 2012. "Support Schemes for Renewable Energy: An Economic Analysis," Economics of Energy & Environmental Policy, International Association for Energy Economics, vol. 0(Number 2).
    7. Himpler, Sebastian & Madlener, Reinhard, 2011. "Repowering of Wind Turbines: Economics and Optimal Timing," FCN Working Papers 19/2011, E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN).
    8. Valentine, Scott Victor, 2013. "Wind power policy in complex adaptive markets," Renewable and Sustainable Energy Reviews, Elsevier, vol. 19(C), pages 1-10.
    9. Dania Ortiz & Vítor Leal, 2020. "Energy Policy Concerns, Objectives and Indicators: A Review towards a Framework for Effectiveness Assessment," Energies, MDPI, vol. 13(24), pages 1-26, December.
    10. Saidur, R. & Islam, M.R. & Rahim, N.A. & Solangi, K.H., 2010. "A review on global wind energy policy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(7), pages 1744-1762, September.
    11. de Simón-Martín, Miguel & Ciria-Garcés, Tomás & Rosales-Asensio, Enrique & González-Martínez, Alberto, 2022. "Multi-dimensional barrier identification for wind farm repowering in Spain through an expert judgment approach," Renewable and Sustainable Energy Reviews, Elsevier, vol. 161(C).
    12. Lu, Ze-Yu & Li, Wen-Hua & Xie, Bai-Chen & Shang, Li-Feng, 2015. "Study on China’s wind power development path—Based on the target for 2030," Renewable and Sustainable Energy Reviews, Elsevier, vol. 51(C), pages 197-208.
    13. Meade, Nigel & Islam, Towhidul, 2015. "Modelling European usage of renewable energy technologies for electricity generation," Technological Forecasting and Social Change, Elsevier, vol. 90(PB), pages 497-509.
    14. Shi, Xunpeng & Liu, Xiying & Yao, Lixia, 2016. "Assessment of instruments in facilitating investment in off-grid renewable energy projects," Energy Policy, Elsevier, vol. 95(C), pages 437-446.
    15. Karakosta, Charikleia & Doukas, Haris & Psarras, John, 2010. "Technology transfer through climate change: Setting a sustainable energy pattern," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(6), pages 1546-1557, August.
    16. Schaefer, Manuel S. & Lloyd, Bob & Stephenson, Janet R., 2012. "The suitability of a feed-in tariff for wind energy in New Zealand—A study based on stakeholders' perspectives," Energy Policy, Elsevier, vol. 43(C), pages 80-91.
    17. Smit, Thijs & Junginger, Martin & Smits, Ruud, 2007. "Technological learning in offshore wind energy: Different roles of the government," Energy Policy, Elsevier, vol. 35(12), pages 6431-6444, December.
    18. Lee, Shun-Chung & Shih, Li-Hsing, 2011. "Enhancing renewable and sustainable energy development based on an options-based policy evaluation framework: Case study of wind energy technology in Taiwan," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(5), pages 2185-2198, June.
    19. Xunpeng Shi & Xiying Liu & Lixia Yao, . "Assessment of Instruments in Facilitating Investment in Off-grid Renewable Energy Projects Global Experience and Implications for ASEAN Countries," Chapters, in: Shigeru Kimura & Youngho Chang & Yanfei Li (ed.), Financing Renewable Energy Development in East Asia Summit Countries A Primer of Effective Policy Instruments, chapter 3, pages 39-77, Economic Research Institute for ASEAN and East Asia (ERIA).
    20. Burton, Jonathan & Hubacek, Klaus, 2007. "Is small beautiful? A multicriteria assessment of small-scale energy technology applications in local governments," Energy Policy, Elsevier, vol. 35(12), pages 6402-6412, December.
    21. V.V. Krivorotov & A.V. Kalina & S.E. Erypalov & P.A. Koryakina, 2021. "Energy Efficiency of Russian Copper Companies as a Basis for Ensuring Their Global Competitiveness," Journal of Applied Economic Research, Graduate School of Economics and Management, Ural Federal University, vol. 20(3), pages 428-460.
    22. Yang, Yingkui & Solgaard, Hans Stubbe & Haider, Wolfgang, 2016. "Wind, hydro or mixed renewable energy source: Preference for electricity products when the share of renewable energy increases," Energy Policy, Elsevier, vol. 97(C), pages 521-531.
    23. Lee, Shun-Chung & Shih, Li-Hsing, 2010. "Renewable energy policy evaluation using real option model -- The case of Taiwan," Energy Economics, Elsevier, vol. 32(Supplemen), pages 67-78, September.
    24. van Alphen, Klaas & Kunz, Huden S. & Hekkert, Marko P., 2008. "Policy measures to promote the widespread utilization of renewable energy technologies for electricity generation in the Maldives," Renewable and Sustainable Energy Reviews, Elsevier, vol. 12(7), pages 1959-1973, September.

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