Energy support measures and their impact on innovation in the renewable energy sector in Europe
EEA Technical report No 21/2014
The report examines the support allocated to energy production and consumption in Europe and its impact on innovation in renewable energy. An overview is given of the type of measures in place in 2012 to support energy consumption and production in 32 EEA countries. For four countries (Switzerland, the Czech Republic, the Netherlands and Spain), a quantitative in-depth analysis is undertaken as well. The main purpose of this analysis is to highlight the part specific country circumstances play in the development of the renewable sector.
The main findings of the report are summarised below:
- Despite growing interest in promoting renewable energy, in 2012 many support measures in Europe targeting fossil fuels were still in place, and continued to affect public budgets.
- Support for fossil fuels affects market conditions for renewable energy, but there is little evidence that the impact is significant, given the support allocated to the renewable sector.
- Several factors are crucial for the innovation process in the renewable sector: political will (or the lack thereof) to shift the focus onto the renewable sector, pre-existing innovation capabilities, the level of investment in research and development (R&D) for renewable technologies and renewable policy design. This has been observed in developments in Denmark as well as in the four target countries (the Czech Republic, the Netherlands, Spain and Switzerland).
Source: Source: European Environment Agency (EEA)