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Cost-benefit analysis of alternative support schemes for renewable electricity in the Netherlands
Published by: Publication date:
ECN Policy Studies 18-1-2011
ECN report number: Document type:
ECN-E--11-002 ECN publication
Number of pages: Full text:
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The research project described in this report encompasses a quantitative assessment of the net social benefits of three alternative policy support systems to stimulate the Dutch uptake of power from renewable sources up to a level of 35% of gross domestic electric power consumption (RES-E) in 2020. The costs and benefits of each of the alternative policy support systems are compared on an incremental basis to the baseline scenario, which basically is an intensification of the existing feed-in premium (SDE) system up to a level yielding the 35% share in 2020 as well. In other words, this study seeks to identify which of the support systems considered, i.e. the baseline system and the three alternative support systems, is most cost-effective. The three alternative support systems are: 1. Introduction in the Netherlands of a German-like FIT system instead of the current SDE scheme to support renewable electricity as of 2014. 2. Introduction of a national demand-side Renewable Quota System (RQS) system for suppliers in the Netherlands in combination with the SDE as of 2014. 3. Introduction of a joint Swedish-Dutch hybrid RQS support system for suppliers as of 2014 whilst keeping the Dutch SDE and possible other supplementary support measures in the countries involved in place. Depending on the design of the joint RQS and supplementary support measures in the countries involved, part of the additional RES-E consumed in the Netherlands might be produced by qualifying Swedish RES-E generators.

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