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Effective Deployment of Photovoltaics in the Mediterranean countries: Balancing Policy Risk and Return

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abstract Although the Mediterranean region is blessed with abundant solar resources, photovoltaic energy currently represents a very small
share of power production. In Germany however, a much less sunny country, the photovoltaic (PV) industry is booming. This country
has become a front runner in the adoption of PV because of effective policy incentives. Based on a cross-case study analysis of the German,
Spanish and Greek PV markets, this paper investigates factors determining the effectiveness of PV policies. Our analysis shows that,
above a certain level of return, risk-related factors (such as policy instability and administrative hurdles) play a more important role in
influencing investment decisions than return-related factors (such as the level of a feed-in tariff).
   
type article
   
keywords Support policies; PV systems; Policy effectiveness; Policy risk; Feed-in tariffs
   
project DISTRES - Promotion and consolidation of all Research and Technology Development activities for Renewable Energy Distributed Generation Technologies in the Mediterranean region
language English
date of appearance 6-2010
journal Solar Energy
publisher Elsevier Ltd.
volume of journal 84
number of issue 6
page(s) 1059–1071
citation Luethi, S. (2010). Effective Deployment of Photovoltaics in the Mediterranean countries: Balancing Policy Risk and Return. Solar Energy, 6(84), 1059–1071.