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Title:
Do we need a common support scheme for renewable-sourced electricity in Europe? If so, how could it be designed?
 
Author(s):
 
Published by: Publication date:
ECN Policy Studies 10-10-2011
 
ECN report number: Document type:
ECN-O--11-058 Other
 
Number of pages: Full text:
19 Download PDF  (300kB)

Abstract:
The static and dynamic efficiency of the deployment in the European Union of renewable energy sources for electricity generation is hampered by the fragmentation of market support schemes by national borders. Along with the fast penetration of renewable energy technologies as mandated by the renewable energy directive, the drawbacks of the existing fragmentation in terms of market inefficiencies and incompatibility with the single market concept are of increasing significance. Bottom-up harmonisation based on a hybrid renewable quota system - i.e. a renewable quota system with supplementary national support measures - could help to reverse this, whilst at the same time allowing for national concerns. This paper considers the case of a possible merger of the Norwegian, Swedish and Dutch support schemes. Norway and Sweden are elaborating a certificates-based joint support scheme, which is to be introduced in January 2012. As for the Dutch support scheme, a notional hybrid support scheme is taken as point of embarkation.


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