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utilities are the largest source of green house gas emissions on the islands. This means that utilities have to be pushed to use photovoltaic systems and other renewable energies. As cited Mallon (2006) in chapter 2.1, the government has the responsibility to establish the market conditions and to use legislation to leverage private sector investments into renewable power projects. Binding, long-term and consistent policies will guarantee stability, which is necessary for investors as well as for financial institutions to reduce the barriers of perceived risks. According to Loy (2007), the monopolies of the Caribbean utility companies are barriers for renewable energy implementations. This might be true to a certain extent, but it has to be pointed out that they serve the small island grids quite well. This means that the government should consider this aspect when setting up a policy and cooperate with the utility to jointly reach targets. Furthermore, like BL&P in Barbados, utilities should be aware of their important position in society and support their customers and country, which also means these monopolies may become a large opportunity for the promotion of solar energy. Regulatory agencies or ministries are responsible for implementing and controlling governmental policies, to regulate the utilities and to protect customer interests. They are considered a useful tool to assure a successful realization of a policy introduction. NGOs are also very valuable for a market development. As Dubash (2002) pointed out, they rarely participate actively in the design of reforms, but as seen in the Barbados case, they are an important information source when establishing a market. The case studies show that there is a potential market for solar energy systems in the Caribbean region and it is possible to overcome the barriers. As analyzed, once the solar water heater market is established by the private sector and supported by the government, it can be further penetrated when financing for middle and low income classes can be made more attractive. Similar for photovoltaic systems, the government has to endorse the private sector so that the markets can be established and it requires proper financing schemes to assure a prosperous market growth. Very crucial for photovoltaic implementations is the cooperation of the utility, which can be achieved by close collaboration and guiding policies. To further help market growth, international donor agencies should put a high focus on improving financing for solar water heaters and photovoltaic systems. Viability in Terms of Sustainable Development 82PDF Image | CARIBBEAN RENEWABLE ENERGY DEVELOPMENT PROGRAMME
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