Changes in the U.S. federal government in January of 2009 have been accompanied by important shifts in policy priorities with regard to energy security and concerns over climate change and greenhouse gas emissions. On February 17, 2009, the $787 billion American Recovery and Reinvestment Act went into effect to address the country’s deepening global economic crisis. However, in spite of the loss of more than 2.6 million jobs between November 2008 and February 2009, there is hope for the growth of the renewable energy sector.
Americans have become increasingly aware of the interrelated nature of economic and energy security, coupled with environmental sustainability. As such, numerous states and municipalities are currently reviewing past, present and potential policies to promote renewable energy technologies in their jurisdictions. New York State provides an interesting case study of the key issues surrounding policy mechanisms to promote renewable energy technologies, particularly Renewable Energy Payments (rep).
In his “State of the State Address” in January 2009, the Governor of New York, David Paterson, presented the goal that New York State would meet 45% of its electricity demand through energy efficiency and renewable energy by 2015. The “45 by 15” goal, as termed by Governor Paterson, would create an estimated 50,000 new jobs in the state. On March 26, 2009, however, the New York State Department of Labor announced that the “recession” in the state had “deepened” for the month of February, citing 145,800 job losses in the private sector alone since August 2008. Nevertheless, recent developments are encouraging.
On February 27 2009, The Consolidated Edison Company of New York (ConEdison) presented the Public Service Authority (psa) a petition for a $25 million “Solar Energy Pilot Program” in order to generate 12MW from solar by 2011. On the same day, the Long Island Power Authority (lipa) announced that the procurement process for the state’s largest solar project to date (50MW) had been completed. This will in effect triple the state’s capacity to generate electricity from solar technology. The New York State Energy Research and Development Authority (nyserda) will provide lipa with $15 million for the project. Furthermore, a renewable energy payment bill was recently introduced in both houses of the New York State Legislature: The New York Renewable Energy Sources Act (Download Discussion of the Bill New York RE Sources Act).


The Japanese government is planning a Renewable Energy Payment system as early as spring 2010. Critics say the plan will cost too much, notably to consumers. However, this plan has not been submitted to public debate. When surveyed and explained the significance of the system, a clear majority of surveyed consumers expressed their support. 