Are green hopes too rosy? Employment and welfare impacts of renewable energy promotion

In view of pressing unemployment problems, policy makers across all parties jump on the prospects of renewable energy promotion as a job creation engine which can boost economic well-being. Our analytical model shows that initial labor market rigidities in theory provide some scope for such a double dividend. However, the practical outcome of renewable energy promotion might be sobering. Our computable general equilibrium analysis of subsidized electricity production from renewable energy sources (RES-E) in Germany suggests that the prospects for employment and welfare gains are quite limited and hinge crucially on the level of the subsidy rate and the financing mechanism. If RES-E subsidies are financed by labor taxes, welfare and employment effects are strictly negative for a broad range of subsidy rates. The use of an electricity tax to fund RES-E subsidies generates minor benefits for small subsidy rates but these benefits quickly turn into significant losses as the subsidy rate exceeds some threshold value.     

How significant is the stability of the radiative regime when the best operation of solar DHW systems is evaluated?

A typical Solar Domestic Hot Water (SDHW) system consisting of solar collectors and a water storage tank operating in fully mixed regime is considered. Optimal control operation is assumed. The objective is to maximize the net daily heat provided by the solar collectors. Meteorological data measured during year 2009 in Timisoara (Romania, Southeastern Europe) are used. Several days with more or less stable radiative regime are selected. Most results correspond to summer and spring days with daily relative sunshine larger than 0.4. The pumping energy increases by decreasing the daily relative sunshine. During more stable days the pump in the primary circuit operates a longer period of time than during less stable days. The opportunity to use the SDHW system for replacing a classical energy source depends on the stability of the radiative regime. The conclusion is that the dependence of SDHW systems' performance on the stability of the radiative regime is a complicate function of the specific performance indicator and the available amount of solar energy.     

Why is there overcapacity in China's PV industry in its early growth stage?

China has rich solar energy resources with great potential for future development. In recent years, encouraged and guided by China's central and local governments as well as international market, China's PV industry has seen a fast development, with increasingly expanded output. A complete industrial chain has taken shape. In 2011, the PV industry of China saw an annual output value of more than 300 billion RMB and total exports and imports of 142 billion RMB, providing jobs for 300,000 people. The development of China's PV industry mainly relies on the European market. Major factors driving the increase of its production capacity include: huge profits at early stage; great support of governments; lack of effective development planning; low-end processing and manufacturing; low admittance standards. The overcapacity in China's PV industry here refers to overcapacity of PV products such as silicon, polycrystalline silicon, solar cells and PV modules. Impacted by the US Financial Crisis and the European Debt Crisis, the market demand for PV products has been shrinking, resulting in more serious overcapacity of the industry. The Chinese government had hoped that the domestic PV market could absorb the overproduced PV products. However, it seems that, due to insufficient development and uncoordinated incentive system, the domestic PV market may not be able to promote significant change of the situation in a short period. Therefore, it should take a long time to solve the problem of overcapacity.     

Understanding ‘local’ opposition to wind development in the UK: How big is a backyard?

In recognition of the environmental and economic threats posed by climate change; decisive steps are now being taken to stabilise greenhouse gas emissions. One sector receiving particular attention within the UK is that of electricity generation. As such, the government has introduced ambitious targets for increasing renewable generating capacity within the country. Wind turbines are expected to play a significant role in meeting these targets; however, despite high levels of support for the technology in principle, specific projects are often delayed or rejected on account of local opposition. This study aimed to establish how attitudes towards development might vary with respect to increasing distance from the identified sites. Participants were required to register their opinion towards development at a number of on- and off-shore locations in the UK. The results indicated that participants were most favourable to offshore development and least favourable to development at the identified sites. Attitudes to onshore development indicated that so long as a proposed location was anticipated to be ‘out of sight’ it was considered in relatively general terms. The results are discussed with reference to site visibility and landscape concerns and clearly support calls for a shift towards community-focussed development strategies.     

Where,when and how much solar is available? A provincial-scale solar resource assessment for China

Integrating variable energy resources, notably solar and wind, requires better understanding of where, when and how much of variable resources are available. China's ambitious solar energy development goal will be greatly facilitated by the resources assessment at higher spatial and temporal resolution. We utilized 10-year hourly solar irradiation data from 2001 to 2010 from 200 representative locations to develop provincial solar availability profiles. We found that China has a potential stationary solar capacity from 4700 GW to 39300 GW, distributed solar about 200 GW, and the annual solar output could reach 6900 TWh to 70100 TWh. Resources are most concentrated in northwest provinces, topped by Inner Mongolia, Xinjiang and Gansu. The challenge of solar development in China is integration rather than resources. The spatial and temporal variation of the solar resource show an efficient, robust, and inter-connected national grid and sound energy planning would be necessary to facilitate the integration of these vastly available but variable solar resources.     

Are environmental fiscal incentives effective in inducing energy-saving renovations? An econometric evaluation of the French energy tax credit

Fiscal incentives have been introduced to encourage households in many countries to undertake energy-saving renovations. This paper assesses the impact of an energy tax credit on (i) renovation rate and (ii) renovation expenditures using French data. We exploit a sharp discontinuity corresponding to the introduction of the French tax credit in 2005 to identify the policy's effects. Results indicate that the tax credit has little effect on the decision to renovate, increasing renovations by 1.09%, ceteris paribus. We find that the presence of free riding reduces the actual effect of fiscal measures. However, this fiscal policy does lead to an increase in renovation expenditures by 21.76%, all things being equal. This suggests that the energy tax credit induces households who are already determined to renovate to perform more substantial energy-saving renovations. We conduct a robustness check using the matching method, which confirms our results.     

Efficient technologies or user behaviour, which is the more important when reducing households’ energy consumption?

Much policy effort focuses on energy efficiency of technology, though not only efficiency but also user behaviour is an important factor influencing the amount of consumed energy. This paper explores to what extent energy efficiency of appliances and houses or user behaviour is the more important, both for understanding why some households consume much more energy than others, and when looking for relevant approaches to a future low-carbon society. The paper uses several sources to explore this question, most of them from a Danish context, including results from the researcher’s own projects and Danish national statistics. These Danish data are discussed together with international studies. Through the presentation of these different projects and examples, it is shown how user behaviour is at least as important as the efficiency of technology when explaining households’ energy consumption in Denmark. In the conclusion, these results are discussed in a broader international perspective and it is concluded that more research in this field is necessary. In relation to energy policy, it is argued that it is not a question of technology efficiency or behaviour, as both have to be included in future policy if energy demand is actually to be reduced. Furthermore, it is also argued that not only individual behaviour is relevant, but also a broader perspective on collectively shared low-carbon practices has to be promoted.     

A nuclear-powered North Africa: Just a desert mirage or is there something on the horizon?

All of the North African countries have plans to develop nuclear power. If successful, nuclear energy could supply up to 9–15% of all electricity consumption in the region by 2030. How realistic are these plans and under what conditions can they be implemented? This paper seeks to answer this question by analyzing the motivations and capacities for deploying nuclear energy in the five North African countries by examining both regional and national factors. These factors are compared to similar characteristics of the countries with existing nuclear power programs using a series of quantitative indicators. While all five countries have strong motivations to develop nuclear power, which result from the high growth rates in demand for electricity and energy security concerns, their financial and institutional capacities to deploy nuclear energy vary and are generally lower than in those countries which already operate nuclear power plants. Most likely, North Africa will need to rely on external assistance to implement its nuclear energy plans. The article identifies three scenarios of nuclear power development from the interplay between internal and external factors, particularly the success of renewable energy projects and the ability to attract international investment in nuclear power.     

Good things come in small packages: is there a common set of motivators for energy behaviour?

Household energy consumption can be curbed by individuals’ energy saving, yet despite many efforts, our energy consumption is not lowering. This study investigated the role of a common set of behavioural determinants for households’ intention to perform four energy-related behaviours: investing in PV cells, turning off apparatus on standby mode, showering less, and replacing old home appliances with new energy-efficient ones. Behavioural determinants—energy awareness, general energy knowledge, attitudes, subjective norms, perceived behavioural control, and moral norms—were assessed in a survey (N?=?83) among Swedish residents. Energy awareness was moderately correlated with energy knowledge, but not with respondents’ intentions to perform the behaviours, except for replacing home appliances. Moral norms were judged by respondents as important motivators and were a strong predictor to behavioural intentions to perform all four behaviours. Attitudes likewise were assessed as important motivators and were important predictors to all behavioural intentions except investing in PV cells, which was instead predicted by perceived behavioural control. Respondents’ assessment of beliefs underlying attitudes also differed for investing in PV cells; namely, beliefs about economic benefits were lower. Moreover, respondents felt less morally responsible for investing in PV cells. Concluding, we found no evidence that intentions to engage in four energy-saving behaviours are mediated by general energy knowledge or energy awareness. Determinants to each behaviour differed, where—surprisingly—investment in PV cells stood out as less motivated both by economic incentives and moral concerns, although moral norms were shared motivators across all four behaviours. We discuss different possible interpretations of these findings.     

Unequal representation of women and men in energy company boards and management groups: Are there implications for mitigation?

This survey shows that female representation in boards and management groups of large energy companies in Germany, Spain and Sweden is far from being gender-equal. Of the 464 companies surveyed, 295 (64%) had no women at all in boards or management groups and only 5% could be considered gender-equal by having 40% or more women in such positions. Interviews with energy companies confirmed current trends that gender equality efforts within decision-making in business are weak or non-existent. The findings are discussed against the background of differences in risk perceptions among women and men, evidence of women’s impact on boards and companies’ performance and the substantial risks related to unabated climate change. Research is suggested for exploring potential impacts on energy companies' performance with more women in the boards when it comes to mitigation activities.     

Toward greener supply chains: is there a role for the new ISO 50001 approach to energy and carbon management?

Considering the increased interest of stakeholders in climate change and a low-carbon economy, this article has investigated and identified several contributions of the ISO 50001 in support of the adoption of green supply chain management (GSCM). In this context, energy efficiency and reduced CO₂ emissions are critical. Therefore, the proposal for and the requirements of ISO 50001 can generate useful insights on how to structure green and low-carbon supply chains, hence helping to address the challenges posed by climate change.