PV adoption: the role of distribution tariffs under net metering

Axel Gautier () and Julien Jacqmin

Journal of Regulatory Economics, 2020, vol. 57, issue 1, No 3, 53-73

Abstract: Abstract The deployment of decentralized productions units (DPU) like rooftop solar panels is a major challenge for a transition towards greener energy sources. Under a net metering system where the meter runs backward when there is excessive PV production, the electricity produced by a solar panel is valued at the retail price. Higher retail prices thus encourage the deployment of DPU. To identify this relationship, we use data from Wallonia where tariffs are paid on a mostly volumetric base and where there are 13 different tariff zones. Using various specifications, our results suggest that in a municipality where the distribution tariff is one eurocent per kWh higher, the investment in solar PV is, all else equal, around 8% higher.

Keywords: Renewable energy; Distribution tariffs; Residential PV panels (search for similar items in EconPapers)
JEL-codes: D12 L51 Q42 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (25)

Downloads: (external link)
http://link.springer.com/10.1007/s11149-019-09397-6 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: PV adoption: the role of distribution tariffs under net metering (2020)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:regeco:v:57:y:2020:i:1:d:10.1007_s11149-019-09397-6

Ordering information: This journal article can be ordered from
http://www.springer. ... on/journal/11149/PS2

DOI: 10.1007/s11149-019-09397-6

Access Statistics for this article

Journal of Regulatory Economics is currently edited by Menaham Spiegel

More articles in Journal of Regulatory Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().