Renewable
Power Growth in the US and Canada Supported by Strong Local Policies :
The US and Canada are global leaders in
renewable power generation. The growth momentum of their renewable industries
has primarily been driven by the support mechanisms provided by federal and
state governments. Although both countries have federal regulations in place
for renewable industry, states and provinces with strong policy frameworks have
been the leading contributors to installed capacity, and the pattern of
development has largely been dependent on the support mechanisms provided. In
the US, the growth of the renewable energy industry has been led by the
state-level Renewable Portfolio Standards (RPS), combined with other tax
incentives and subsidies. California and Texas, which have been providing
policy support to the renewable energy industry for more than a decade, are the
leaders in renewable capacity in the US. The Canadian government is supporting
renewable energy with its ecoEnergy program, and Ontario, with its comprehensive
Feed-in Tariff (FiT) program, is the leading province in terms of renewable
power capacity.
Extension
of Production Tax Credit and Change in Clause to Stimulate US Wind Power
Installations in the near Future :
The growth of the wind industry in the
US has primarily been facilitated by the support mechanisms provided by the
federal and state governments. The Production Tax Credit (PTC) is credited as
being one of the most important policies in terms of driving the US wind power
industry, and provides an income tax credit for facilities placed in service
before the expiry date. Since its inception, the PTC has expired seven times,
and each expiry has led to a sharp decline in annual installed capacity. In
2012, when the PTC was due to expire, the tax credit was extended for an
additional year for wind power facilities. This extension also changed the
scope of the projects that are eligible for PTC, meaning that all wind power
projects for which construction had started by the end of 2013 would be
eligible for PTC once the facility became operational. This change in the scope
of eligibility stimulated the construction of a high number of projects by the
end of 2013, and is expected to lead to increased annual wind power capacity
over the next two to three years, in contrast with the decline observed when
the PTC has expired in previous instances.
ecoEnergy
Initiatives and Provincial Policies to Boost Renewable Energy in Canada :
Canada is a leading country in terms of
the use of renewable energy resources for electricity generation and heating.
In 2013, renewable energy, including small hydropower, accounted for 8.9% of
its electricity generation. Wind power is the most prominent source of
renewable energy, generating around 39% of Canada’s renewable total – including
hydropower – in 2013. The Canadian government is using both ecoEnergy and FiTs
to develop its renewable energy sector and promote the use of renewable energy
in the country. ecoEnergy is an umbrella program that covers various federal
incentives to promote renewable energy production. The government has invested
approximately $5 billion in ecoEnergy initiatives to provide FiTs, fund
renewable energy projects, finance technology initiatives, and support energy
efficiency in various sectors.
Canada does not currently have a federal
target in place for the production of power through renewable energy
technologies, as the federal government has authorized each province to develop
its renewable power markets individually, meaning each province has its own
policy framework. The Ontario FiT program is the region’s first comprehensive
price-guarantee system for renewable power generation, while the Renewable
Energy Standard Offer Program (RESOP) and the sales tax rebate initiative are
other programs supporting the development of the solar power market in Ontario.
Additionally, net metering, which is offered in Ontario, Quebec, British
Columbia and Nova Scotia, is also supporting solar power generation in Canada.
Mexico's
National Energy Strategy to Drive Renewable Power Capacity :
Mexico possesses substantial reserves of
coal, oil and gas, and its power sector is currently dominated by these
sources, which jointly account for 70% of its power capacity. Renewable power
capacity increased at a Compound Annual Growth Rate (CAGR) of 9% between 2000
and 2013, increasing from 1.23 Gigawatts (GW) in 2000 to 3.85 GW in 2013. In
2012, the government introduced the National Energy Strategy, which established
a roadmap for energy policies to be implemented over the next 15 years, and set
a specific goal for the generation of 35% of electricity from non-fossil
sources, in order to reduce Greenhouse Gas (GHG) emissions. The target under
this strategy also limits the share to be accounted for by generation from
fossil fuel technologies to 60% by 2035 and 50% by 2050. The strategy is
expected to encourage the use of renewable sources for power generation.
Browse
this report: http://mrr.cm/ZMJ
Find all Energy and Utilities reports at: http://www.marketresearchreports.com/energy-utilities
No comments:
Post a Comment