Bottom Line: The current prospects for a sustainable low-carbon economy are poor in both the UK and across the European Union (EU). Germany and Spain have already clearly shown what happens when state coercion forces such a dramatic shift to less reliable and more costly renewable energy systems: unsustainably high subsidies, fewer jobs, and reduced economic growth.
Whatever the longer-term potential for a viable and prosperous global economy with a low-emissions profile, the present study demonstrates that the prospects for a self-sustaining low-carbon economy as the result of current UK national and EU-wide policies are poor.
The problem is that these policies for such a shift to renewable energy systems demand high levels of state coercion.
This has the risk of stagnating economic growth and leading to lower levels of invention and innovation, thus appearing to be a weak preparation for reduced usage of fossil fuels.
In addition, empirical experience in Spain and Germany shows that the costs of supporting renewable energy generation are overly high, compared to low-carbon alternatives, and almost certainly has, over time, net economic effects that are negative both in terms of gross domestic product and employment.
An age of subsistence-energy generation appears to be dawning. Overly high subsidies to force renewable energy into the system erode jobs in other sectors of the economy.
Finally, analysis for the EU suggests that the net effects of such policies would only be marginally positive if the EU retains a high share of the world export market in renewable energy technologies – something that appears rather unlikely.
Growth in Cost of Subsidy to Spanish Renewable Electricity Generators
• Empirical experience in Spain and Germany shows that the costs of supporting renewable energy generation are too high.
• Rising employment in the renewable energy sector compared to the wider UK economy stems from unsustainably high subsidies.
• Renewables are naturally less productive, so as they are relentlessly pursued, a painful rebalancing of the economy will occur, with fewer jobs and less economic growth.
Read the full study here.
We really need to get our terms in order here. Where the issues concern Global Warming, the big worry is about carbon dioxide, but those who clamor to have humanity “fix” that imaginary problem seem stuck on the term “carbon” as their targeted boogeyman. Anybody familiar at all with molecular chemistry, minerology and such fields know very well that carbon and carbon dioxide are vastly different materials. If the global warming scaremongers wish to have us fight against carbon, that is, the dirty sooty pollutant that is the carbon by-product of burning things, then I’m right there with them. But I’m sure they really mean they are against carbon dioxide in the atmosphere, which is the pinnacle of silliness. By saying no carbon, NO CARBON, NO CARBON!!! in the atmosphere, I have no choice but to think they are campaigning against graphite and diamonds floating in the air. I haven’t seen much of that going on.
A low carbon economy is simple.
All we need to do is determine once and for all when members of our genus started burning things and live like they did before that.
About a million and a half years worth of regression should do it.
Anyone for a cold cave or roosting in a tree, dodging predators?
I might believe in the simple life, but that’s taking it too far.
Biden is promising many thousands of “green jobs” will come from his climate change agenda. From the article, “empirical experience in Spain and Germany shows that the costs of supporting renewable energy generation are overly high, compared to low-carbon alternatives, and almost certainly has, over time, net economic effects that are negative both in terms of gross domestic product and employment.” Obviously Biden’s promise of green jobs is at worst a lie and at best a dilution due to his incompetence. If Biden can get his agenda implemented, we won’t only suffer job loss but also a contraction of our economy.