Green Warning: Renewables Won’t Be Competitive Without New Carbon Tax Or Policy Changes

Accelerating the expansion of renewable energy sources could threaten their competitiveness, a new report has claimed.

Onshore wind prices initially fell as Germany held its first auctions, but costs have risen in the last two tenders (pic credit: Siemens) — **Onshore wind prices initially fell as Germany held its first auctions, but costs have risen in the last two tenders** (pic credit: Siemens)

Germany’s minister for the economy and energy Peter Altmaier believes renewables will become “fully competitive” with fossil fuels and even subsidy-free by 2023.

But Aurora Energy Research argues that this is questionable under the current market design.

The analysts, however, suggested that policy changes such as implementing a carbon price floor or improving power purchase agreement (PPA) structures could increase competitiveness for renewables.

Onshore wind prices initially fell as Germany held its first auctions, but costs have risen since citizens’ projects were stripped of privileges including longer implementation periods and no permitting requirement.

Aurora Research points out that actual subsidies will be higher than published results because auction bids are given for a reference location with a standardised location, but in practice, guaranteed prices are corrected by location-specific measurements.

This, the analysts conclude, suggests that current projects are “far from being competitive”. Further, with increasing market saturation, the quality of available sites is likely to decrease.

Full story

via The Global Warming Policy Forum (GWPF)

https://ift.tt/2JLAwlB

June 15, 2018 at 05:38AM

One thought on “Green Warning: Renewables Won’t Be Competitive Without New Carbon Tax Or Policy Changes”

Reblogged this on Earthscience18 and commented:
Meetings International is delighted to invite all the participants globally to attend “International Conference on Earth Science and Climate Change.” Which will be organized during September 06-07 , 2018 in Zurich, Switzerland.
For more information go through the link: https://www.meetingsint.com/conferences/earthscience

LikeLiked by 2 people

earthscience2018 says:

15 Jun 2018 at 6:59 am

Reblogged this on Earthscience18 and commented:
Meetings International is delighted to invite all the participants globally to attend “International Conference on Earth Science and Climate Change.” Which will be organized during September 06-07 , 2018 in Zurich, Switzerland.
For more information go through the link: https://www.meetingsint.com/conferences/earthscience

LikeLiked by 2 people