Executive summary of the impact assessment. Accompanying the document: Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions.

Abstract

Over the last few years, driven by economies of scale and technology improvement, renewable energy sources (RES) has deployed at faster rate than previously foreseen. This is welcome, showing the positive effects of the EU renewable energy policy. In response to these trends, Member States have increasingly reformed support schemes for renewables to ensure cost-effectiveness and market integration. Sometimes the manner in which such reforms have been undertaken has failed to follow European best practice, creating investor uncertainty across Europe. In addition, the current financial and economic crisis has made investors more cautious about investing in capital intensive energy markets, and in particular in the policy-dependent renewable energy sector.