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"Through the next several decades, renewable energy technologies, thanks to their continually improving performance and cost, and growing recognition of their environmental, economic and social values, will grow increasingly competitive with traditional energy technologies, so that by the middle of the 21st century, renewable energy, in its various forms, should be supplying half of the world’s energy needs." (International Energy Agency, Renewable Energy Working Party, April 2001.) Executive Summary and Recommendations Renewable energy can contribute substantially to the entire North American electricity supply, to biomass based transport fuels and for space and hot water heating in buildings and industry. Both distributed forms of renewable energy and central large-scale technology options are possible. The manufacturing, installation and maintenance of renewable technology can create substantial employment opportunities for North America. Both wind and biomass fuels could contribute in a major way to enhancing rural economic development in all three countries. Worldwide, the rates of growth of wind and solar energy are the most rapid of any technology. Wind power installations have been doubling every three years between 1994 and 2001, and now total over 23,000 MW. (Brown, 2002, Sawin, 2001). Likewise photovoltaic shipments have been doubling at a comparable rate between 1996 and 2001, and now approach 400 MWp. These growth rates are from a small base, but vastly exceed any other form of energy technology. Unfortunately, North America has a declining share of this accelerating market in renewable technology. A number of policy barriers within each of the three North American nations need to be addressed, and national and NAFTA trading rules need to be reconciled in order for renewable energy to achieve its full potential. It is also essential to adopt a long-term perspective for expanding the role of renewable energy in North America over the next several decades. An examination of successful renewable energy policies in North America and in Europe suggest that some of the following policy goals and options might be effective in accelerating the adoption of renewable energy technologies. General Policy Principles to Promote Renewable Technology ß Establish a consistent and comprehensive system for monitoring renewable energy production and consumption in each country. ß Create a common and coordinated strategy for introducing renewables into North America, and identify ways in which the three nations might cooperate. ß Internalize the environmental, social and macro economic costs of energy into energy markets. ß Establish consistent, long-term policies and incentives for renewables so that investors will have greater certainty about their rates of return on investment. ß Align RPS and other domestic regulations and NAFTA trading rules to be consistent and supportive of renewable energy. iiiPDF Image | Assessing Barriers and Opportunities for Renewable Energy in North America
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