| Climate change due to the burning of fossil fuels continues to be a growing concern for governments around the world. With this a new market for renewable energy has and continues to take shape. Renewable energy technologies and projects receive significant support from governments, and this is regarded as vital to its growth as an industry. The US Energy Policy Act of 1992 created a production tax credit (PTC) of 1.5 cents/kWh available for 10 years to promote certain renewable energy technologies, including wind turbines. This thesis begins by reviewing the history and impacts of the PTC on wind power development in the Unite d States and continues to explore the growth and evolution of the PTC today. Other policy mechanisms used in the United States and Europe are explored; examples of such policies include the Renewable Portfolio Standards (RPS) implemented in states throughout the United States and the Feed-in Tariffs (FITs), a heavily favored policy in many European companies. The design, implementation, strengths, and weaknesses of these various policies are researched through academic journals, economic articles, interviews with industry participants, and current news, in order to understand what will best serve the interests of the United States financially and environmentally. In conclusion, policy suggestions and guidelines to most effectively support the expansion of wind power in the United States are presented. The choice policy recommendations are a long term extension of the PTC and a federal feed-in tariff mandate. |
