The Benefits Of Regulation Of Renewable Energy

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A large issue that supporters of regulation of renewable energy mention when addressing the topic of allowing companies a more comfortable transition is that when companies are given a more passive option to change, they will tend to avoid any loss of revenue, which changing to renewable energy initially requires. An example of a developing renewable energy market that has been in the developing state for a very long time is the renewable energy market in the United States. The United States has been growing its renewable energy market at a miniscule level for years because, as supporters of strict regulation of renewable energy market believe, the United States has been extremely lenient to both power generation companies and to large energy …show more content…
What they seek out to do is to see whether or not, under current laws and requirements, if a successful renewable energy market could be created in the European union. They look at the renewable energy market in the view of how successful the area’s market can be to export renewable energy and to become a competitive supplier of renewable energy. After years of research, they conclude that, “Despite the fact that the European Union has legal competence and power to regulate the renewable energy market, under current legal regulation of the 2009 Directive it is unlikely that the single market for renewable energy will be created. One of the main obstacles is the different promotion measures for the production of renewable energy in the Member States. Promotion measures for the production of energy from renewable energy sources is the form of state aid, for this reason different promotion measures in the Member States put renewable energy producers in an unequal competitive position,” (Tikniūtė and Milčiuvienė 1510). Leniency is from the Member States who have stakes in the energy market meaning that the people who create the regulations have a personal loss if they decide to begin taxing nonrenewable energy sources. Because of this it is very unlikely for the government to begin the regulation of the renewable energy market, and they probably would even begin putting forth incentives to move towards renewable energy because again it would be a loss to their own personal finances. This is detrimental to all the countries the European Union is involved with, and to the world as a whole. If the government puts no effort in moving the renewable energy market forward it will be nearly impossible to begin creating a market for renewable energy. The only way at this stage for the renewable energy market to come

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