Renewable Electricity Policies

Tradable Green Certificates
First Edition

This book compares the renewable electricity policies adopted before and after the liberalisation of the electricity market in Belgium, Denmark, Germany, the Netherlands and the United Kingdom. It is aimed at public actors and private... Read More

• The liberalisation of the European electricity market has important consequences for the promotion of renewable energies.Without any public intervention, the competition between electricity suppliers is expected to encourage the cheapest electricity sources to the detriment of renewable energy sources (wind, solar, hydro, biomass, etc).Which public policies are being implemented in the European countries to promote the renewable electricity? Which policy instruments are compatible with the market rules? What are, in particular, the political conditions for the tradable green certificates?

• This book seeks to answer these questions by comparing the renewable electricity policies adopted before and after the liberalisation of the electricity market in Belgium, Denmark, Germany, the Netherlands and the United Kingdom. It is aimed at public actors involved in energy policy making, private operators of the energy sector, policy analysts and citizens interested in sustainable energy issues.


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Specifications


Publisher
Presses universitaires de Louvain
Author
Isabelle de Lovinfosse, Frédéric Varone,
Collection
Hors collection (Presses universitaires de Louvain)
Language
English
Supporting Website
Publisher’s website for a specified work
Publisher Category
Applied Sciences > Electricity
Publisher Category
Economics and Social Sciences > Political and Social Science
BISAC Subject Heading
POL000000 POLITICAL SCIENCE > BUS094000 BUSINESS & ECONOMICS / Green Business > POL068000 POLITICAL SCIENCE / Public Policy / Energy Policy
Onix Audience Codes
06 Professional and scholarly
CLIL (Version 2013-2019)
3283 SCIENCES POLITIQUES > 3069 TECHNIQUES ET SCIENCES APPLIQUEES > 3192 Développement durable, écologie
Title First Published
2004
Type of Work
Monograph
Original Language
English

Paperback


Publication Date
01 January 2004
ISBN-13
9782930344560
Extent
Main content page count : 392
Code
70590
Dimensions
16 x 24 x 2.2 cm
Weight
626 grams
List Price
27.00 €
ONIX XML
Version 2.1, Version 3

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Contents


I. EXPLAINING RENEWABLE ELECTRICITY POLICIES IN EUROPE: A THEORETICAL FRAMEWORK....................................19
Frédéric VARONE and Isabelle DE LOVINFOSSE
1 INTRODUCTION ............................................................................................19
2 ELEMENTS OF A PUBLIC POLICY...................................................................20
2.1 Public policy: a general definition ................................................21
2.2 Policy objectives............................................................................22
2.3 Policy instruments .........................................................................22
2.4 Institutional arrangement for policy implementation....................23
2.5 Target groups of policy instruments ..............................................24
2.6 Policy outputs and outcomes .........................................................25
3 DEPENDENT VARIABLE: TYPES OF POLICY CHANGE......................................26
4 INDEPENDENT VARIABLES AND RESEARCH HYPOTHESES .............................27
4.1 Market liberalization and renewable energy policy:.........................
Does Europeanization matter?......................................................28
4.2 Politics: Do political parties matter? ............................................32
4.3 Path dependency: Does the legacy of the past matter? .................33
4.4 Policy transfer: Do lesson-drawing and international emulation matter?...............................................34
4.5 Broader context: Do problem-framing and inter-policies coordination matter? ............................................36
5 THEORETICAL FRAMEWORK AND STRUCTURE OF THE CASE STUDIES ...........38
6 REFERENCES................................................................................................40
II. EU POLICIES: MARKET LIBERALISATION, RENEWABLE ELECTRICITY AND TGC ..............................45
Isabelle DE LOVINFOSSE and Frédéric VARONE
1 INTRODUCTION ............................................................................................45
2 LIBERALISATION OF THE EUROPEAN ELECTRICITY MARKET ........................46
2.1 The EU directives for the internal electricity market ....................46
2.2 State aid for environmental protection ..........................................52
2.3 The PreussenElektra against Schleswag case ...............................53
3 EUROPEAN RENEWABLE ELECTRICITY POLICY .............................................53
4 TRADABLE GREEN CERTIFICATES SYSTEM ...................................................58
4.1 The tradable green certificates market..........................................59
4.2 Settings of a TGC system...............................................................61
4.3 Opportunities and threats of a TGC system...................................63
5 CONCLUSION ...............................................................................................68
6 REFERENCES................................................................................................68
III. FROM PRIVATE SELF-REGULATION TO PUBLIC RENEWABLE ELECTRICITY POLICY: A PARADIGMATIC CHANGE IN BELGIUM...............73
Isabelle DE LOVINFOSSE and Frédéric VARONE
1 INTRODUCTION ............................................................................................73
2 OVERVIEW OF THE ELECTRICITY SECTOR.....................................................75
2.1 Electricity generation ....................................................................75
2.2 Renewable electricity generation by fuel.......................................77
2.3 Electricity import-export ...............................................................78
2.4 Electricity prices............................................................................79
3 RENEWABLE ELECTRICITY POLICY BEFORE ELECTRICITY MARKET LIBERALISATION .........81
3.1 Overview of the electricity policy in Belgium (1970-1999) ...........81
3.2 Key actors in the electricity sector before liberalisation...............91
4 LIBERALISATION OF THE ELECTRICITY SECTOR............................................95
4.1 Reform of the electricity sector......................................................95
4.2 Legal market opening ....................................................................99
4.3 Market competition......................................................................100
5 RENEWABLE ELECTRICITY POLICY CHANGES AT THE END OF THE 90S .......102
5.1 The renewable electricity policies ...............................................102
5.2 Key actors in the electricity sector ..............................................110
5.3 Policy network changes...............................................................113
6 CONCLUSION .............................................................................................114
7 REFERENCES..............................................................................................116
8 LIST OF ABBREVIATIONS............................................................................118
IV. SUCCESS THROUGH CONTINUITY: RENEWABLE ELECTRICITY POLICIES IN GERMANY ...............121
Volkmar LAUBER and Dieter PESENDORFER
1 INTRODUCTION ..........................................................................................121
2 OVERVIEW OF THE ELECTRICITY SECTOR...................................................123
2.1 Electricity generation ..................................................................123
2.2 Renewable electricity generation ................................................125
2.3 Electricity imports and exports....................................................127
2.4 Electricity tariffs and prices ........................................................128
3 ELECTRICITY AND RENEWABLE ELECTRICITY POLICY BEFORE ELECTRICITY MARKET LIBERALISATION .........129
3.1 Electricity policy in general (1935-1998)....................................129
3.2 Policy towards RES-E from the 1970s until liberalisation..........133
3.3 Characteristics of the main programmes ....................................138
4 LIBERALISATION........................................................................................147
4.1 The reform of the electricity sector..............................................147
4.2 Legal market opening ..................................................................148
4.3 Market competition......................................................................150
5 POLICY AFTER LIBERALISATION.................................................................155
5.1 Overview......................................................................................155
5.2 RES-E programmes in detail .......................................................157
5.3 Characteristics of main programmes ..........................................164
5.4 Actor network ..............................................................................165
6 CONCLUSION .............................................................................................171
7 REFERENCES..............................................................................................175
8 LIST OF ABBREVIATIONS............................................................................180
V. DENMARK: EARLY PROMOTER OF RENEWABLE ENERGY..183
Kenji ASANO
1 INTRODUCTION: COUNTRY OVERVIEW.......................................................183
2 STATISTICS FOR THE ELECTRICITY SECTOR (1970-2001)............................186
2.1 The increase in coal and natural gas as a substantial replacement of oil ...........186
2.2 The stable increase of Combined Heat and Power (CHP) .....................................187
2.3 The fluctuation of electricity production due to the international electricity trade.............188
2.4 The development of wind power ..................................................189
2.5 Electricity consumption by sector................................................191
2.6 Electricity prices..........................................................................191
3 RENEWABLE ELECTRICITY POLICY BEFORE THE ELECTRICITY MARKET LIBERALIZATION (1970-1998)..........193
3.1 Overview of the electricity policy in Denmark (1970-1998)........193
3.2 Key actors in the electricity sector before liberalization.............209
4 LIBERALIZATION OF THE DANISH ELECTRICITY SECTOR ............................213
4.1 The Danish framework of electricity reform in 1999...................213
4.2 Reform of the electricity sector....................................................214
4.3 Legal market opening ..................................................................220
4.4 Market competition......................................................................221
5 RENEWABLE ELECTRICITY POLICY CHANGES AT THE END OF 1990S ..........222
5.1 The Danish Green Certificate......................................................222
5.2 The other renewable electricity programs...................................231
5.3 Key actors in the electricity sector and policy network changes...............................232
6 CONCLUSION .............................................................................................235
7 ACKNOWLEDGEMENTS ..............................................................................237
8 REFERENCES..............................................................................................238
VI. RENEWABLE ELECTRICITY IN THE UNITED KINGDOM: DEVELOPING POLICY IN AN EVOLVING ELECTRICITY MARKET......243
Peter CONNOR
1 INTRODUCTION ..........................................................................................243
2 STATISTICS FOR THE ELECTRICITY SECTOR (1970-2002)............................246
2.1 Electricity generation ..................................................................246
2.2 Renewable electricity generation by fuel.....................................247
2.3 International trading of electricity ..............................................249
2.4 Electricity prices..........................................................................250
3 ELECTRICITY AND RENEWABLE ELECTRICITY POLICY BEFORE ELECTRICITY MARKET PRIVATISATION......................251
3.1 The basis for UK renewable energy policy..................................254
3.2 Overview of the electricity sector before the liberalisation process.....................256
3.3 The position of Scotland and Northern Ireland ...........................256
4 ELECTRICITY PRIVATISATION IN ENGLAND AND WALES ...........................258
4.1 Trading of electricity following the initial privatisation..............263
4.2 Governance of electricity regulation ...........................................264
5 THE ADOPTION OF RE POLICY AS PART OF THE PRIVATISATION PROCESS............................267
5.1 The Non-Fossil Fuel Obligation (NFFO)....................................267
5.2 The NFFO in operation ...............................................................269
6 RENEWABLE ENERGY POLICY CHANGES RESULTING FROM DEVELOPMENT AND CHANGE WITHIN THE LIBERALISED INDUSTRY..............274
6.1 The basis for change in UK electricity trading............................274
6.2 The renewables obligation...........................................................275
6.3 Additional support mechanisms...................................................284
6.4 Policy relating to planning issues................................................286
6.5 Problems for renewables arising from current regulation of the UK ESI...............287
7 CONCLUSION .............................................................................................292
7.1 The need for change within current renewable energy policy.....294
7.2 The impact of previous RE policy on post-2000 RE policy .........295
8 REFERENCES..............................................................................................296
VII. BETWEEN SUCCESS AND FAILURE: RENEWABLE ELECTRICITY POLICIES IN THE NETHERLANDS.....................301
ISABELLE DE LOVINFOSSE and VALENTINA DINICA
1 INTRODUCTION ..........................................................................................301
2 OVERVIEW OF THE ELECTRICITY SECTOR...................................................305
2.1 Electricity generation ..................................................................305
2.2 Renewable electricity generation by fuel.....................................307
2.3 Electricity import-export .............................................................309
2.4 Electricity prices..........................................................................310
3 RENEWABLE ELECTRICITY POLICY BEFORE THE ELECTRICITY MARKET LIBERALISATION .....................311
3.1 Overview of the renewable electricity policy (1974-1998)..........311
3.2 Key actors in the renewable electricity sector before liberalisation ........................................................................323
4 LIBERALISATION OF THE ELECTRICITY SECTOR..........................................330
4.1 Reform of the electricity sector....................................................330
4.2 Legal market opening ..................................................................334
4.3 Market competition......................................................................336
5 RENEWABLE ELECTRICITY POLICY CHANGES AFTER LIBERALISATION .......337
5.1 The renewable electricity policies ...............................................337
5.2 Key actors in the renewable electricity sector in 2003................352
6 CONCLUSION .............................................................................................355
7 REFERENCES..............................................................................................357
VIII. RENEWABLE ELECTRICITY POLICIES IN EUROPE: A TENTATIVE COMPARISON................359
Frédéric VARONE, Isabelle DE LOVINFOSSE and Volkmar LAUBER
1 INTRODUCTION ..........................................................................................359
2 RES-E POLICY CHANGES ...........................................................................360
3 MARKET LIBERALISATION AND RENEWABLE ENERGIES POLICY:
DOES EUROPEANIZATION MATTER? .........................365
4 POLITICS: DO POLITICAL PARTIES MATTER?...............................................370
5 PATH DEPENDENCY: DOES THE LEGACY OF THE PAST MATTER? ................374
6 POLICY TRANSFER: DO LESSON-DRAWING AND INTERNATIONAL EMULATION MATTER?.............378
7 BROADER CONTEXT: DO PROBLEM-FRAMING AND INTER-POLICIES COORDINATION MATTER? .......382
8 CONCLUSION .............................................................................................386
9 REFERENCES..............................................................................................390