Legal and Political Factors of Renewable Energy Development Essay

Bolinger & Poter (2010, p.4) argue that there are several barriers such as subsides for conventional forms of energy, financing risks and technology prejudice which hinder the development process of renewable energy.

To overcome these barriers the government has put in place various regulations and policies to facilitate the development of renewable energy (Sawin, 2001, p.4). This essay seeks to explain government policies and regulations that support the development of renewable energy.

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Trade control (rates and incentives)
Price settling policy mitigates costs and price related barriers by providing favorable pricing rules for renewable energy as opposed to other sources of power generation. This means that the quantity of investment obtained is unspecified, but the price is identified in advance.

On the other hand, the percentage of quantity to be supplied from renewable energy at an undetermined price (Sawin, 2001, p.5).

Tax relief
Tax relief policies are offered to promote the development of renewable energy in states like Japan, United States, Europe and other countries.

In states where tax relief is common, the state and federal tax policies address issues related to energy production, renewable fuels, accelerated depreciation and property investment (Bleyl, & Eikmeier, 2009, p.4).

Environmental safety
Rader, (2012, p.6) & Dunn (2009, p.4) argue that policies that reduce power plant emissions such as carbon dioxide and nitrogen and its components have the ability to affect the development of renewable energy.

The government has established policies like green house gas mitigating policy to reduce power plant emissions in order to promote the development of renewable energy.

The greenhouse gas action plan of the New Jersey was designed to capture methane gas in order to enhance the generation of power in order to avoid the emissions of methane gas into the atmosphere (Wiser & Milford, 2008, p.8).

Intellectual property law
The intellectual property law is established to protect the strength and intellect of scientific expertise across the various technical areas that are essential to renewable energy. The government provides a full range of intellectual property services to the expertise in the renewable energy sector (Bolinger & Poter, 2010, p.6).

Environmental law
Boonekamp & Vethman (2010, p.7) say that this is one the laws in the energy sector that stipulate the legal transactions that support the development of renewable energy. Environmental law provides legislative instruments that encourage the growth of renewable energy.

This such as the which promotes a safe environment for both human beings and other living creatures.

The law offers other policies that regulate air pollution, land use and other policies that ensure quality ground and surface water. The law is in place to ensure proper installation of renewable energy technology by the project developers (United Nations Environment Program, 2010, p.10).

Import restrictions
Import restrictions are specific limitations that act as barriers to trade because of the set rules and laws that create negative impacts to trade.

Such barriers include cumbersome immigration procedures, inspection requirements, police road blocks, varying trade regulations for the countries engaged in the transactions and . These rules limit the quantity as well as the quality of the products imported (Hirsh & Serchuk, 2009, p.11).

The European government has established the Renewable Energy Act which supports the importation of renewable energy equipment, machinery and materials by removing duty on imported products (International Energy Agency, 2010, p.8).

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