THE EFFECT OF CHANGING NETWORK ECONOMICS ON THE COMPETITIVENESS OF RENEWABLE ENERGY TECHNOLOGIES

摘要

Network industries are undergoing radical changes in regulation, industrial organisation and technologies. In the electricity sector technological trends include decentralised production of heat and power, controllability of electricity transport, evolving multi-functionality of networks, enhanced possibilities for demand side management, and increased possibilities for interfuel substitution. Institutional changes include corporatisation, privatisation, unbundling/restructuring and introduction of competition. These changes also affect the network characteristics of the electricity industry. This paper shows how distributed generation, which is often based on renewable energy technologies, could be affected by institutional and technological changes in the network component of the electricity industry.