Is renewable energy a cost-effective mitigation resource? An application to the Spanish electricity market
| Autor: | Maria Paz Espinosa, Cristina Pizarro-Irizar |
|---|---|
| Rok vydání: | 2018 |
| Předmět: |
Social cost of carbon
Natural resource economics Cost effectiveness 020209 energy 02 engineering and technology Energy policy Climate change Commerce Electric industry Emission control Gas emissions Power markets CO2 emission reduction Economic implications European emission trading system Feed-in tariff Renewable energies Renewable energy policy Spanish electricity markets Cost reduction Merit order 0202 electrical engineering electronic engineering information engineering Economics Electricity market Renewable Energy Sustainability and the Environment business.industry Social cost Renewable energy Electricity business |
| Zdroj: | Addi: Archivo Digital para la Docencia y la Investigación Universidad del País Vasco Addi. Archivo Digital para la Docencia y la Investigación instname |
| ISSN: | 1364-0321 |
| DOI: | 10.1016/j.rser.2018.06.065 |
| Popis: | This paper evaluates the net effect of renewable energy policy in Spain from 2002 to 2017 and calculates its cost-effectiveness in terms of CO2 emission reductions in the production of electricity. Our conclusions indicate that although the phasing out of Feed-in Tariffs reduced the regulatory costs, it also limited renewable participation in the electricity market, leading to an increased electricity price and higher emissions. According to our results, the joint effect of (i) the value of avoided emissions due to renewable energy participation and (ii) the merit order effect was able to compensate for the regulatory costs (subsidies) up until 2010, while the sign of the net effect was reversed from 2011 to 2017. Finally, we find that the economic implications of emission reductions are highly dependent on how the social cost of carbon is measured. © 2018 Elsevier Ltd We would like to thank the Ministry of Economy and Competitiveness and the European Regional Development Fund ( ECO2015-64467-R , MINECO/FEDER), the Basque Government (DEUI, IT-783-13 ) and the University of the Basque Country ( PES14/63 ) for financial support. Cristina Pizarro-Irizar acknowledges financial support from the Ministry of Economy and Competitiveness of Spain ( ECO2015-68023 ). We also thank Gabriel Peto for his research assistance |
| Databáze: | OpenAIRE |
| Externí odkaz: |
|
Full Text from ScienceDirect