Policy Regime as a Barrier to Decarbonization - Essay Example

The policy regime that governed the expansion of the electri system in the last century is a barrier to decarbonisation Affiliation Date The policy regime that governed the expansion of the electricity system in the last century is a barrier to decarbonisation Decarbonisation has been a major element in the transition from non-renewable energy to renewable energy where it has been established to be a precondition for avoiding dangerous climate change. The chances of having less carbon-intensive and carbon free energy as a major source of energy in the coming century will be consistent with the long-term vibrant transformation and structural modification in the energy system. The relevance of modifying electric energy is to meet the demands of the citizens where the need for clean and reliable energy has been on the rise. In Ontario, several policy regimes were created in the effort of achieving decarbonisation. In this essay, I will examine the policy regime that was enacted by the Ontario government, as well as, how they have helped and diminished the achievement of clean electric energy in the province. In Ontario to ensure that there were appropriate regimes to run the introduction of the clean energy and to avoid competition, the government enacted the Ontario Power Authority in 2004. The Act was enacted to conduct autonomous electricity system planning and to procure electricity resources. Although the policy regimes were meant to end decarbonisation in Ontario, some of the policy makers were main profit out of the regimes (Winfield, 2012). Instead of focusing on measures to decarbonize Ontario and ensure that there is clean environment focused on the market discipline and competition on renewable energy. In that, according to the Advisory Committee on Competition in Ontario’s Electricity System, the policy that was created was not intended to encourage renewable energy. The Committee further argued that Ontario customers needed electricity that was genera ted by renewable resources where they would choose it in a new market that would be introduced. The politics in energy have been a great barrier in the achievement of decarbonisation. Therefore, to ensure that political polarization on renewable energy is reduced proper measures should be given to ensure that debates on renewable energy were not based on politics. Secondly, the policy regimes that were created in the last decade were a barrier to decarbonisation. Because instead of supporting renewable energy in Ontario the government was delaying the opening of electricity by maintaining the introduction of market and competition forces, which were all needed to promote renewable energy (Pond, 2009). The government did not consider that by delaying the regimes in the province they were causing many effects on the health of its citizens. In the sense that, the main reason of introducing the policy regime was to ensure that the issues of air quality were catered for and there would be clean air. Air pollution in Ontario was a major issue where the health effects of air quality, especially on children were susceptible indicating that the carbon that was in the air was a serious; hence, causing a huge health risk. The major air pollution in the province was due to lack of electricity in the province because of coal-fired power stations. There were many reports that were given in relation to the effects of air pollution in the province indicating the number of people that had succumbed to death due to air pollution. Therefore, a need to enhance the regimes to regulate air pollution in Ontario was needed to ensure that the level or the amount of deaths reported reduced. Additionally, with the reduction of decarbonisation more lives would be saved, especially those of children. This is to say that the policy regimes that had been introduced in that decade were not doing what they were intended to do (Ontario, 2013). The private companies that had taken up the job were only making profits from the completion that was in Ontario, but did not put the health factors of their citizens first to ensure that they promoted clean air. Therefore, the private companies or organizations played a major role in creating a barrier in decarbonisation the province. The policy regimes such as the feed in tariffs in Ontario were also a major barrier to decarbonisation in the sense that, the Feed-in Tariffs were introduced under the Ontario Power Authority. The program was meant to promote and encourage the greater use of renewable energy sources that included waterpower, on-shore wind, renewable biomass and solar photovoltaic that would enhance the generating of electricity in Ontario (Pahl, 2012). However, many political issues became a barrier to ensuring that there was promotion of decarbonisation. Where most of them indicated that, the introduction of renewable energy would cost the province a lot of money, which they did not have. Additionally, the cost of introducing the solar electricity or wind electricity would cause a lot of use in the land due to installation of the required machines, which Ontario did not have or did not want to use. Additionally, the policies that were put in place at the time did not assure the citizens that the energy would be for their benefit, as they would reduce the amount of people who feel ill due to illness that resulted from the emission of carbon dioxide in the atmosphere (Rowlands, 2007). Therefore, with the negative attitude that the people had over the introduction of renewable energy due to the vast tracks of land they would take for the introduction it became a huge barrier to decarbonisation. However, the citizens were not entirely to blame for believing that the government was up to grab their land. This is because nobody from the government had informed them that the introduction of renewable energy in Ontario was meant to ensure that there was clean air and energy that would be used by the residents. In the feed-in tariffs the government should have control over the prices of renewable energy to ensure that although the market actors develops the market they do not have the control over how they show charge the users of the renewable energy. However, the government has been reluctant on establishing the right measures to govern the prices of renewable energy creating a barrier in decarbonisation. In the case of Ontario, there was a delay in the setting of steel prices, which lead to the delay of renewable energy. This was a barrier in the sense that in case the prices had been set it would he been easier to ensure that renewable energy was achieved early; hence, decarbonisation. Moreover, the policy regimes that had been introduced at the time only favored the private investors in the market due to completion of ensuring that there were the biggest suppliers of green and renewable energy (Gevorkian, 2012). Therefore, it is clear that the government allowed politics to run over the introduction of renewable electricity; hence, barring decarbonisation in Ontario. Meaning that it was the duty of the government to deploy the relevant policies to accelerate the introduction of renewable energy in the province. Thus, the various policy regimes that were introduced in Ontario in the last decade played a significant role in ensuring that decarbonisation in the province were not achieved. Creating clean and fresh energy in Ontario has been the major goal of many legislators, especially those who were in support of renewable energy. For that reason, the regimes that were introduced in the last decade although having various drawbacks they had a great impact in ensuring that there was reduction in the amount of carbon that was emitted in the environment. For example, the Feed-In tariffs programs that introduced in Ontario ensured that there was promotion and encouragement, as well as, acceleration of renewable energy. The program was introduced as a standard form contract that was tailor made to accelerate investment when it came to renewable energy technologies. The contracts were made for long-term contractors who offered renewable energy. The Feed-in tariffs included tariff reduction where the prices go down over time. By so doing, the program offered competition that was cost based to the renewable energy producers where they further provided price certainty, as well as, long-term contracts that would help them in financing renewable energy investments in Ontario. Therefore, the feed-in tariffs were a major boost to decarbonisation as they ensured that there was fair competition and many people who wanted to venture in the energy business had the chance to ensure that Ontario had clean energy. The adoption of feed-in tariffs in Ontario were held by experts to be the most effective instruments in the support of large-scale and rapid deployment of renewable energy. This is because the majority wind and solar photovoltaic energy had been attributed to the introduction of the feed-in tariffs. The objective of the FIT was to create stable incentive or the novel investment in renewable technology (Weis, Partington & Pembina Institute for Appropriate Development, 2011). For that reason, it became cheaper for the energy producers to reduce the cost of kW h that was delivered to every individual that used renewable energy. Additionally, the FIT reduced the financial and regulatory risk as the promoters of the program ensured that it was managed according to their goals and objectives that were intended for the program. By so doing, many people started using renewable energy; hence, reducing the amount of carbon monoxide and dioxide emissions among other toxic materials into the environment. Secondly, the introduction of the policy regime that was used to govern electricity expansion in Ontario was not a barrier to decarbonisation because it allowed the government to enact many regimes that allowed renewable energy. In the sense that, the government became more involved in the enhancement of renewable energy in Ontario. For instance, in relation to the prices the government has managed to implement and adjust policies that have ensured that the prices schedules remain fair for both electricity ratepayers and project proponents. Whereby, in case the prices are high and the FIT is stable the policy may be unrestricted entirely due to corroding political support. However, in case the price is low and the FIT is unstable the investment may suffer because navigating the tension is a challenge. Therefore, it is clear that the policies have provided investor stability where in the case of Ontario it has been established that the government respond to any new information that is given to them in relation to pricing. However, the government has faced many challenges in implementation of these policies (Condon & Sinha, 2013). For example, the swift change in the solar PV price less than a year into the program illuminates the challenge in the government when it comes to the setting the price for the renewable technology because of political pressure, rapid innovation and asymmetric information. This means that although politics have been seen as a hindrance to decarbonisation they play an imperative role in ensuring that the key individuals elected in the political arena are in support of ensuring that there is decarbonisation on Ontario. The Feed-in tariff policies have aimed in the expansion of electricity and enhancing decarbonisation in the sense that, due to their decreased prices in their users they have lowered the levels of decarbonisation in Ontario. Whereby the level of the number of people who suffer from illnesses that are because of air pollution have decreased. This has been attributed by the fact the government and the people of Ontario have accepted to work together in ensuring that they live in an environment that is safe and clean, especially for the children who were the most affected by the emissions in the province. Decarbonisation has not been an easy task for the government of Ontario; with the help of the FIT, four different technologies were developed that are covered under the policy regime. The four technologies include solar power, biomass, wind power, and biogas at a small hydroelectric cost, which means that there are different costs to produce each. The contractors through the FIT were given a twenty-year contract meaning that they are more confident with the project costs and securing adequate investment to ensure that installation of the required materials in the province (In Fouquet, 2013). By so doing, the policy has allowed many investors to turn to renewable energy encouraging and promoting green energy in the region. According to the environmental commissioner of Ontario, it was established that there was a possibility of generating green electricity without sacrificing the economy of the province and at the same time achieving decarbonisation. Therefore, it is correct to say that the policy regime that has been used to expand electricity in Ontario has promoted decarbonisation. Moreover, there has been growth in the industries in Ontario because of environmentally friendly energy that has ensured that the electricity produced by the industries do not have any greenhouse gases. The policy regime that was created in Ontario in the last decade has shown it advantages and its drawbacks. In that, there proponents of the regime have continued to support the regime. However, the opponents have been of the opinion that the politicians have taken control of the regime and have favored the private investors in Ontario (McEvoy, Markvart & Castañer, 2012). Therefore, looking at both sides, it is clear that although there have been challenges on the government in finding measures on pricing that has been the major issue. They have found a common ground on ensuring that there is control on pricing, which would be the best way to ensure that there is equality and promotion of clean energy. In conclusion, Feed-in tariff policy that was enacted in the last decade has been of great importance on the province of Ontario in the sense that, it has ensured that there is reduction of the number of people who suffer from illnesses that result from emission of greenhouse gases. For that reason, there has been an expansion of the in renewable electricity in Ontario with the help of the policy. The introduction of the policy was a great measure on the province as it advanced the technology in renewable energy and developed many reactions from different organizations and departments. Additionally, with the help of the policy the government was relieved of some burden of ensuring that the province got renewable energy as they gave contracts to the private institutions, which have played a significant role in ensuring that the goal and objective of the FIT was achieved. However, the government has control when it comes to pricing to ensure that the private sector does not oppress the electricity users. The recommendation I would give to accelerate the transition to a low-carbon electricity system in the province for the policy actors would be to have control on the prices of the electricity to ensure that the people or users do not have difficulties accessing the electricity. Secondly, the policy actors should ensure that the policy is well implemented in all organizations that have been licensed to producer renewable energy by making several follow ups every two to three times in a year. Thirdly, the policy actors should ensure that politics do not govern their leadership and should always ensure that in case there are debates on the issue they do not affect the recommended laws. Lastly, the policy actors should provide all persons given contractors with the measures they should take to inform the policy actors on any information that they get. References Condon, B. J., & Sinha, T. (2013). The Role of Climate Change in Global Economic Governance. Oxford: OUP Oxford Gevorkian, P. (2012). Large-scale solar power systems: Construction and economics. New York, NY: Cambridge University Press. In Fouquet, R. (2013). Handbook on energy and climate change. Cheltenham, UK: Edward Elgar. McEvoy, A., Markvart, T., & Castañer, L. (2012). Solar cells: Materials, manufacture and operation. Oxford: Elsevier. Ontario. (2013). Making choices: Reviewing Ontarios long-term energy plan. Toronto, ON: Ontario Ministry of Energy. Pahl, G. (2012). Power from the people: How to organize, finance, and launch local energy projects. White River Junction, Vt: Chelsea Green Pub. Pond, D. (2009). Institutions, political economy and land-use policy: greenbelt politics in Ontario. Environmental Politics, 8(2), P.238-256. doi:10.1080/09644010802682619 Rowlands, I. H. (2007). The Development of Renewable Electricity Policy in the Province of Ontario: The Influence of Ideas and Timing. Review of Policy Research, 24(3), P. 185–207. doi:10.1111/j.1541-1338.2007.00277.x Weis, T., Partington, P. J., & Pembina Institute for Appropriate Development. (2011). Behind the switch: Pricing Ontario electricity options. Drayton Valley: Pembina Institute. Winfield, M. (2012). Blue-green province: The environment and the political economy of Ontario. Vancouver: UBC Press. Read More