A Reexamination of Renewable Electricity Policy in Sweden

Reprint No. 2013:27

Author(s): Sven-Olof Fridolfsson and Thomas TangeråsYear: 2013 Title: Energy Policy Volume (No.): 58 (July) Pages: 57–63
Online article (restrictions may apply)
Preliminary version

Green certificates are the main instrument for promoting renewable electricity (RES-E) in Sweden. But certificates cover only a limited share of total RES-E production. Under partial coverage, crowding out may arise whereby costly new RES-E replaces inexpensive old RES-E. Granting certificates to all of RES-E production improves efficiency, but leaves windfall rent to otherwise profitable facilities. We also analyze transaction costs in the permit process for new RES-E in Sweden. Municipalities veto socially desirable projects because of asymmetrically distributed investment costs and benefits. We propose market-based permit fees rather than limited veto rights as a solution to this NIMBY problem.

Fridolfsson, Sven-Olof and Thomas Tangerås (2013), "A Reexamination of Renewable Electricity Policy in Sweden". Energy Policy 58(July), 57–63.

Thomas Tangerås


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In this book Andreas Bergh, Therese Nilsson, IFN and Lund University, and Daniel Waldenström, IFN and Paris School of Economics, France, review the latest research on the relationship between inequality and health. What does inequality mean for our health? Does increasing income inequality affect outcomes such as obesity, life expectancy and subjective well-being?


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