News Digest Item
27 Sep 2017

Renewables support should be used to lower investment risk – research institute

German Institute for Economic Research (DIW)

In a new analysis, the German Institute for Economic Research (DIW) looks at how different types of renewables support regimes can effectively keep costs low for transforming the energy system. Uncertainty about future power prices is now the main risk for project developers in the renewables sector, so the the role of government support is changing, writes the DIW in a press release. The main task of government support to renewables is less and less to cover the costs of developing new technologies, but rather to help reduce price risk so that investment costs can be kept in check, writes DIW.

Find the press release here, and the analysis here (both in German).

For background, read the CLEW factsheet Germany ponders how to finance renewables expansion in the future.

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