Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/41571 
Year of Publication: 
2010
Series/Report no.: 
cege Discussion Papers No. 105
Publisher: 
University of Göttingen, Center for European, Governance and Economic Development Research (cege), Göttingen
Abstract: 
Germany could have reached Kyoto protocol obligations earlier if German solar investments would be relocated to Sicily. Additional benefits of emission savings and energy production should rise up to 72%. Nevertheless German solar power plants 2008 counted for 20 % of the financial benefits through support mechanisms EEG for renewable energies while the share at produced green energy was not more than 4,8%. The system seems absurd from an economical view, but is adopted in many other countries. Firstly, the paper will analyse general economic theories to underline the importance of financial supports for renewable energies and why policy maker can justify the subsidies for selected technologies through social costs effected by carbon exhaust. Secondly, place does matter and physics are the limit: the following chosen approach for expected final yield shrinks the additional benefits of the theoretical relocated south solar investments to +37%. Thirdly, the conclusions give political recommendations for the design of further subsidies of solar energies in Europe.
Subjects: 
Photovoltaics
Renewable Energies
Feed in Tariffs
Carbon Exhausts
Global Warming
European Energy Policies
JEL: 
Q42
Q48
Q54
L51
H23
Document Type: 
Working Paper

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