Annals of the University of Oradea: Economic Science (Dec 2021)
THE ECONOMICAL AND FINACIAL IMPLICATIONS OF RENEWABLE ENERGY SOURCES
Abstract
More and more often, we talk about the use of renewable energy from the perspective of environmental protection. Competitive pressure in which reliability and efficiency are the key elements in capital development that shape the development plan of countries every year. However, we cannot look at this issue only from a climatic point of view. On a large scale, the production and the development of industries must thrive to the new standards, adapting also from the technological and financial point of view. The most visible effects are quantifiable in the form of employment, increase or decrease in GDP, dynamics of budget revenues and expenditures, applied taxonomy, and investment impact. In no country does the improvement of renewable energy take place without financial, social, and political support. EU countries have decided to allocate significant public funds under various support schemes for the progress of this sector. Accelerating the development of renewable energy sources (RES) also involves the introduction of mechanisms involving the use of private capital. In turn, this has effects on the level of local acceptance for development projects. In other words, this article presents first of all a synthesis of the key elements of the literature, dealing with the scientific, technical, economic, financial and environmental elements. The most important aspect is related to the contribution of the six renewable energy sources to the achievement of sustainable objectives. The purpose of this article is to provide information on how European Union countries have managed both fiscal and economic revenues from renewable energy sources. In order to establish the economic and financial efficiency of renewable energy sources, the mechanism and functionality of pricing systems were studied. The progress made by the countries studied is determined in particular by the degree of achievement of the objectives imposed by the European Union. Presenting the latest trends in RES, we pointed out the systems that support the development of renewable energy through solutions adopted as financial and environmental measures.
