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Showing posts with the label new government

PERVERSE INCENTIVES AND ENERGY PROBLEMS

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We live in a strange time and place. Electricity in Poland is much cheaper than it was a few years ago, but the experts are projecting power shortages in the near future. The rules of supply and demand seem suspended by the regulatory and political situation. The low price of electricity in Poland is stopping new construction and investment for multiple possible sources. Polish government officials do not want us to follow the road of Germany and develop a higher percent of renewables. They say it is too expensive and unreliable. Yet German electricity is cheaper than Polish power and has far, far fewer outages. The Polish Government objects to adding too much to the price of electricity to support renewable energy, but proposes to continue to use most of the support for the existing production of electricity with only a small partial switch to biomass to make it "green." This does not create any new electricity and detailed studies show that it is 100% transferred to...

The Continued Uncertainty in Polish Renewable Energy

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Never make predictions, especially about the future.                                                                          Casey Stengel By now everyone's predictions on the state of the renewable energy support system in Poland are wrong. The new government has gone back to square one and is working on an overhaul of the law passed last April. The European Commission is finalizing a decision on the green certificate program, including support for co-firing and old hydro, and - at the same time - looking into the law passed last April. It is likely that the Commission is discussing the changes in the new law with the Polish Government right now. Adding to the confusion, much of the RES that the new government in Warsaw seems to like is also problematic.      Whether by the c...