Comparison of Feed in Tariff, Quota and Auction Mechanisms to Support Wind Power Development
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Authors
Butler, Lucy
Neuhoff, Karsten
Publication Date
2006-03-14Series
Cambridge Working Papers in Economics
Publisher
Faculty of Economics
Language
en_GB
Type
Working Paper
Metadata
Show full item recordCitation
Butler, L., & Neuhoff, K. (2006). Comparison of Feed in Tariff, Quota and Auction Mechanisms to Support Wind Power Development. https://doi.org/10.17863/CAM.5045
Abstract
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.
Keywords
Classification-JEL: Q28, Q42, Q48, Wind Generation, Renewable Energy, Subsidy, Policy
Identifiers
This record's DOI: https://doi.org/10.17863/CAM.5045