The Growing Impact of Renewable Energy in European Electricity Markets
Reinhard Haas, Hans Auer, Gustav Resch and Georg Lettner, Energy Economics Group, Vienna University of Technology, Vienna, Austria
Despite the high costs, generating electricity from renewable energy sources is considered as environmentally benign (Resch et al., 2008). In recent years, due to generous support schemes in a number of countries, electricity generation from renewables is growing at a remarkable rate as illustrated in Figure 5.1 for EU-27 countries between 1990 and 2010. The growth of “new” renewables excluding hydro is even more impressive over the same period from less than 1% to about 9%, mainly from wind and biomass (Figure 5.2).