The Economics of Renewable Energy Support

Abstract

As of 2016, about 110 jurisdictions worldwide-at the national or sub-national level-had enacted policies subsidizing wind and solar power (REN, 2017). The Renewable Energy Directive by the European Commission (2010) established a policy framework for the promotion of RE in the EU with the aim to meet by 2030 27% of total EU-wide energy consumption with renewables. In the United States, the federal government provides sizable production and investment tax credits for RE and more than half of the states have adopted renewable portfolio standards mandating minimum levels of RE generation (U.S. Department of Energy, 2016). 2 Edenhofer et al. (2018) estimate that approximately 340 Gt CO 2 emissions out of a global carbon 50Hertz. 2018. "Wind Production in the German Region Controlled by 50Hertz.