The schemes to remunerate investments in renewables should enable a continuous development of a portfolio of different RES-E technologies, which appear of relevance for meeting 2050 targets.

 

2020 and 2030 targets are milestones on a longer road towards a sustainable energy supply. There-fore, strategies for reaching 2020 and 2030 targets should take into account that the transition towards higher shares of renewables will need to continue after those intermediate target years.

Given the high number of technological, economic, political and other uncertainties involved, nobody can reasonably define today what the power system will look like in 2050. A reasonable risk management strategy is to keep several opportunities open by diversifying the portfolio of potential future options. In a world with high shares of RES, the value of a diversified RES-E portfolio might be higher. Therefore, deploying exclusively those renewable technologies that are most convenient today is not wise in the medium and long-term. We should avoid locking-out technologies that are currently more expensive, but might both be less expensive over time, and useful or indispensable elements in a power portfolio in the long term.

Schemes remunerating RES investments are complementary to R&D policies. Without systematic long-term R&D support, PV would probably have never developed to a stage close to market deployment. Public support for RES R&D will continue to be essential. However, experience has shown that R&D policies alone are not sufficient to reduce production and delivery costs and bring new technologies to large market deployment: for instance, the large wind and PV price reductions of the last decade would not have been reached without policies promoting large scale market rollout. Remuneration schemes should provide incentives to drive down the costs of renewable technologies.

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