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Energy Technology Regulations and Policy Trends for Energy
Frost & Sullivan, Dec 2009, Pages: 54
This research service provides an overview of the policies and regulations for solar, wind, biofuels and energy efficiency technologies. An analysis of the research and investment trends is also presented
Research Overview This Frost & Sullivan research service titled Energy Technology Regulations and Policy Trends for Energy Efficiency offers a comprehensive overview of policies, regulations, and investments in clean energy and energy efficiency technologies. In this research, Frost & Sullivan’s expert analysts thoroughly examine the following technologies: biofuels, solar photovoltaics (PV) and concentrating solar power (CSP), green buildings, lighting, and transportation.
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Technology Overview
Government Initiatives and Regulations Enable Paradigm Shift in the Renewable Energy Cause
Regulations to meet the renewable portfolio goals and emission standards are the predominant drivers for the renewable energy markets. The future of the PV market will largely depend on the enforcement of existing or new support mechanisms by governments across the world. Apart from promoting renewable energy, projects, policies, incentives, and subsidies provide long-term certainty and direction for investors and developers of clean energy technologies. They help to maintain and increase the flow of capital investment as well as achieve economies of scale, ensuring significant progress toward reduced energy consumption and ratchet down carbon dioxide (CO2) emissions. “The EU Renewable Energy Directive 2009/28/EC directive requires 20 percent of energy to be generated from renewable sources by 2020, and sets each European country with a specific target, “ notes the analyst of this research service. “In US, the Renewable Portfolio Standard (RPS) and other state programs have been critical in spearheading renewable energy development.”
The economic recession that hit the world market from late 2008 until early 2010 had closed down many projects related to renewable energy and alternate energy. Stimulus plans across the globe were able to keep only some of them active, and this has been a major setback for the development of technologies pertaining to energy efficiency and green energy. The conservative nature of participants in the energy industry has prevented them from adopting new technologies. They are hesitant to shift from the proven traditional technologies to the new green technologies that are in their infancy.
Among the different countries in the world promoting green buildings, Germany has the best energy efficiency requirements for new buildings. Currently, 30 percent more energy efficiency has been achieved and 30 percent more will be reached by 2012. Policies are aimed at promoting and supporting passive and other highly efficient new buildings with additional incentives. All developed countries have at least voluntary energy certification systems or plans to implement building energy certificates. The United Kingdom and Germany already have mandatory certification schemes in place to promote significant energy savings in buildings. The smart grid segment has attracted substantial venture capital investment. While commercial deployment of smart grids could begin in the in 2011, consolidation in the smart grid sector can be expected in the next two years.
Market Sectors
Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:
- Biofuels - Solar PV and CSP - Green buildings - Lighting - Transportation
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