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Comparison of Feed in Tariff, Quota and Auction Mechanisms to Support Wind Power Development

  • Butler, L.
  • Neuhoff, K.

A comparison of policy instruments employed to support onshore wind projects suggests that in terms of capacity installed, policies adopted in Germany have been more effective than those adopted in the UK. Price comparisons have frequently neglected differences in resource base: once accounted for we find the cost of policies to be similar. A developer survey identifies planning constraints as only one reason why installed capacity is greater in Germany, and indicates that price support is also important. Information provided by developers also suggests that although the tendering process adopted in the UK is highly competitive in terms of price paid for energy delivered, competition in other areas of the market is significantly lower than in Germany.

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File URL: http://www.econ.cam.ac.uk/electricity/publications/wp/ep70.pdf
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Paper provided by Faculty of Economics, University of Cambridge in its series Cambridge Working Papers in Economics with number 0503.

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Length: 35
Date of creation: Jan 2005
Date of revision:
Handle: RePEc:cam:camdae:0503
Note: CMI, IO
Contact details of provider: Web page: http://www.econ.cam.ac.uk/index.htm

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  1. Gross, Robert, 2004. "Technologies and innovation for system change in the UK: status, prospects and system requirements of some leading renewable energy options," Energy Policy, Elsevier, vol. 32(17), pages 1905-1919, November.
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  8. Lauber, Volkmar, 2004. "REFIT and RPS: options for a harmonised Community framework," Energy Policy, Elsevier, vol. 32(12), pages 1405-1414, August.
  9. Mitchell, Catherine & Connor, Peter, 2004. "Renewable energy policy in the UK 1990-2003," Energy Policy, Elsevier, vol. 32(17), pages 1935-1947, November.
  10. Langniss, Ole & Wiser, Ryan, 2003. "The renewables portfolio standard in Texas: an early assessment," Energy Policy, Elsevier, vol. 31(6), pages 527-535, May.
  11. Menanteau, Philippe & Finon, Dominique & Lamy, Marie-Laure, 2003. "Prices versus quantities: choosing policies for promoting the development of renewable energy," Energy Policy, Elsevier, vol. 31(8), pages 799-812, June.
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