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{{Short description|How a government or business deals with energy}} |
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'''Energy [[policy]]''' is a plan of action for tackling issues related to [[energy]] supply, demand, development of energy related [[industry]] and [[trade]] and consequences of energy activities. (This definition is from Merriam Webster dictionary.) |
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{{for|the academic journal|Energy Policy (journal)}} |
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{{Lead too short|date=June 2022}} |
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[[File:TAP TANAP SCP Schah Denis.png|thumb|300px|Example of energy policy decisions: The goal of the [[Southern Gas Corridor]], which connects the giant [[Shah Deniz gas field]] in [[Azerbaijan]] to Europe, is to reduce Europe's dependency on Russian gas.]] |
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'''Energy policies''' are the government's strategies and decisions regarding the [[Energy production|production]], [[Energy distribution|distribution]], and [[World energy supply and consumption|consumption of energy]] within a specific [[jurisdiction]]. The energy sector emits more greenhouse gas worldwide than any other sector.<ref name=":0" /> Therefore, energy policies are closely related to [[climate change mitigation]] policies. These decisions affect how high the [[greenhouse gas emissions]] by that country are. The main components of energy policy include [[legislation]], international treaties, [[Energy subsidy|energy subsidies]] and other [[public policy]] techniques. |
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National energy policy may include one or several of the following measures: |
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* [[legislation]] on commercial energy activities (trading, transport, storage, etc.) |
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* legislation affecting [[energy use]], such as [[efficiency standard|efficiency standards]], [[emission standard|emission standards]] |
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* instructions for state owned energy sector assets and organizations |
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* [[fiscal policy|fiscal policies]] related to energy products and services (taxes, exemptions, subsidies ... |
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* international policy measures such as: |
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** international energy sector treaties and alliances, |
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** general international trade agreements, |
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** special relations with energy-rich countries, including military presence and/or domination. |
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Energy is essential for the functioning of modern economies because they require energy for many sectors, such as industry, transport, agriculture, housing. |
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Often the dominant issue of energy policy is the risk of supply-demand mismatch (see: [[energy crisis]]). Current energy policies emphasize also the environmental issues (see: [[climate change]]). |
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==Purposes== |
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Access to energy is critical for basic social needs, such as lighting, heating, cooking, and healthcare. Given the importance of energy, the price of energy has a direct effect on jobs, economic productivity, business competitiveness, and the cost of goods and services. |
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Frequently the dominant issue of energy policy is the risk of supply-demand mismatch (see: [[energy crisis]]). Current energy policies also address environmental issues (see: [[climate change]]), particularly challenging because of the need to reconcile global objectives and international rules with domestic needs and laws.<ref>{{cite journal |last1=Farah |first1=Paolo Davide |last2=Rossi |first2=Piercarlo |date=December 2, 2011 |title=National Energy Policies and Energy Security in the Context of Climate Change and Global Environmental Risks: A Theoretical Framework for Reconciling Domestic and International Law Through a Multiscalar and Multilevel Approach |journal=European Energy and Environmental Law Review |volume=2 |issue=6 |pages=232–244 |ssrn=1970698}}</ref> |
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Some governments issue energy policy statements, but, declared or not, each government practices some kind of energy policy. |
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The "human dimensions" of [[energy use]] are of increasing interest to [[business sector | business]], utilities, and policymakers. Using the [[social sciences]] to gain insights into energy [[consumer behavior]] can help policymakers to make better decisions about broad-based [[climate and energy]] options.<ref>{{Cite web |title=Nudge • Nudging consumers towards energy efficiency through behavioural science |url=https://www.nudgeproject.eu/ |access-date=2022-06-04 |website=Nudge |language=en-US}}</ref> This could facilitate more [[efficient energy use]], [[renewable energy commercialization | renewable-energy commercialization]], and [[carbon emission | carbon-emission]] reductions.<ref>Robert C. Armstrong, Catherine Wolfram, Robert Gross, Nathan S. Lewis, and [[M.V. Ramana]] et al., "The Frontiers of Energy", ''Nature Energy'', Vol 1, 11 January 2016.</ref> |
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Even within a state it is proper to talk about energy policies in [[plural]]. Influential actors, such as [[municipality|municipal]] or regional governments and energy industries, will each exercise his own policy. Policy measures available to these entities are lesser in sovereignty, but may be equally important as national measures. |
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== Approaches == |
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{{See also|Sustainable energy#Government policies}} |
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The attributes of energy policy may include [[legislation]], international treaties, incentives to investment, guidelines for [[energy conservation]], [[tax]]ation and other public policy techniques. Economic and energy modelling can be used by governmental or inter-governmental bodies as an advisory and analysis tool. |
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==Energy policies of the United States of America [[USA]]== |
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''see main article'' [[Energy policy of USA]] |
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[[Energy planning]] is more detailed than energy policy. |
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==Energy policies in the [[European Union]]== |
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=== |
=== National energy policy === |
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Some governments state an explicit energy policy. Others do not but in any case, each government practices some type of energy policy. A national energy policy comprises a set of measures involving that country's laws, treaties and agency directives. |
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There are a number of elements that are contained in a national energy policy. Some important elements intrinsic to an energy policy include:<ref>{{Cite book |last=Hamilton |first=Michael S |url=https://www.taylorfrancis.com/books/9781317471479 |title=Energy Policy Analysis: A Conceptual Framework |date=2014 |publisher=Routledge |isbn=978-1-317-47147-9 |edition=0 |language=en |doi=10.4324/9781315704647}}</ref> |
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===Energy policies of EU member states=== |
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* What is the extent of [[energy independence|energy self-sufficiency]] for this nation |
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* Where future energy sources will derive |
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* How future energy will be consumed (e.g. among sectors) |
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* What are the goals for future [[energy intensity]], ratio of energy consumed to [[GDP]] |
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* How can the national policy drive province, state and municipal functions |
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* What specific mechanisms (e.g. taxes, incentives, manufacturing standards) are in place to implement the total policy |
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*Do you want to develop and promote a plan for how to get the world to [[net zero emissions]]? |
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*What [[fiscal policy|fiscal policies]] related to energy products and services should be used (taxes, exemptions, [[energy subsidies|subsidies]], etc.)? |
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*What legislation affecting [[Efficient energy use|energy use]], such as [[Minimum Efficiency Performance Standards|efficiency standards]], [[emission standard]]s, is needed? |
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=== Relationship to other government policies === |
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==See also:== |
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{{Further|climate change policy|environmental policy}} |
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*[[energy]] |
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Energy policy sometimes dominates and sometimes is dominated by other government policies. For example energy policy may dominate, supplying free coal to poor families and schools thus supporting [[social policy]],<ref>{{Cite web |date=2022-05-31 |title=WB-6 countries struggling to secure electricity production in their old coal power plants |url=https://balkangreenenergynews.com/wb-6-countries-struggling-to-secure-electricity-production-in-their-old-coal-power-plants/ |access-date=2022-06-04 |website=Balkan Green Energy News |language=en-US}}</ref> but thus causing [[air pollution]] and so impeding [[Health policy|heath policy]] and [[environmental policy]].<ref>{{Cite web |title=Health and climate change: country profile 2022: Turkey - Turkey {{!}} ReliefWeb |url=https://reliefweb.int/report/turkey/health-and-climate-change-country-profile-2022-turkey |access-date=2022-06-04 |website=reliefweb.int |language=en}}</ref>{{Rp|page=13}} On the other hand energy policy may be dominated by [[defense policy]], for example some counties started building expensive nuclear power plants to supply material for bombs.<ref>{{Cite web |title=The links between nuclear power and nuclear weapons - |url=https://cnduk.org/resources/links-nuclear-power-nuclear-weapons/ |access-date=2022-06-04 |language=en-GB}}</ref> Or defense policy may be dominated for a while, eventually resulting in [[Stranded asset|stranded assets]], such as [[Nord Stream 2]]. |
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*[[energy development]] |
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*[[energy balance]] |
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*[[nuclear power phase-out]] |
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Energy policy is closely related to [[climate change policy]] because totalled worldwide the energy sector [[Greenhouse gas emissions|emits more greenhouse gas]] than other sectors.<ref name=":0">{{Cite web |title=Climate change – Topics |url=https://www.iea.org/topics/climate-change |access-date=2022-06-04 |website=IEA |language=en-GB}}</ref> |
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==External links== |
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Energy policy decisions are sometimes not taken democratically.<ref>{{Cite web |last=Kasturi |first=Charu Sudan |title=Kazakhstan unrest highlights tricky terrain of fuel subsidy cuts |url=https://www.aljazeera.com/economy/2022/1/13/kazahstan-unrest-highlights-tricky-terrain-of-fuel-subsidy-cuts |access-date=2022-01-15 |website=www.aljazeera.com |language=en}}</ref> |
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*[http://www.publicforuminstitute.org/issues/energy/index.htm Energy and the Environment Issues Page] |
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*[http://www.dti.gov.uk/energy/whitepaper/index.shtml| ''"Our energy future - creating a low carbon economy"'', UK, February 2003] |
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*[http://europa.eu.int/comm/energy_transport/en/lpi_lv_en1.html| Final report on the the Green Paper ''"Towards a European strategy for the security of energy supply"'', EU, June 2004] |
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*[http://www.iea.org/Textbase/publications/index.asp#pubs| ''"Energy Policies of (Country x)"'' series], [[IEA]] |
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=== Corporate energy policy === |
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==Quotes== |
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In 2019, some companies “have committed to set climate targets across their operations and value chains aligned with limiting global temperature rise to 1.5°C above pre-industrial levels and reaching net-zero emissions by no later than 2050”.<ref>{{Cite web |date=22 September 2019 |title=87 Major Companies Lead the Way Towards a 1.5°C Future at UN Climate Action Summit |url=https://unfccc.int/news/87-major-companies-lead-the-way-towards-a-15degc-future-at-un-climate-action-summit |access-date=11 May 2020 |website=UNFCCC}}</ref> Corporate [[Power purchase agreement|power purchase agreements]] can kickstart renewable energy projects,<ref>{{Cite journal |last=Christophers |first=Brett |date=2022-05-19 |title=Taking Renewables to Market: Prospects for the After‐Subsidy Energy Transition: The 2021 Antipode RGS‐IBG Lecture |journal=Antipode |language=en |pages=anti.12847 |doi=10.1111/anti.12847 |s2cid=248939579 |issn=0066-4812|doi-access=free }}</ref> but the energy policies of some countries do not allow or discourage them.<ref>{{Cite web |title=PPA structures and parties involved around the world - DLA Piper Corporate PPAs |url=https://www.dlapiperintelligence.com/corporateppa/countries/ |access-date=2022-06-01 |website=www.dlapiperintelligence.com}}</ref> |
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"[[Communism]] is the rule of [[Soviet (council)| soviets]] plus the [[electrification]] of the whole country." [[Vladimir Lenin| Vladimir Ilich Lenin]] |
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== By type of energy == |
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"Our decision about energy will test the character of the [[American people]] and the ability of the President and the [[Congress]] to [[governance|govern]] this Nation. This difficult effort will be the “[[moral equivalent of war]],” except that we will be uniting our efforts to build and not to destroy". [[Jimmy Carter]], address to the nation on the energy problem, April 18, [[1977]]. |
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=== Nuclear energy === |
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{{Excerpt|Nuclear energy policy|paragraphs=1|file=no}} |
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=== Renewable energy === |
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"Our nation is a [[Pacific]] country, as well. And that's why the [[OPEC]] conferences are so important." [[George W. Bush]] |
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{{Excerpt|renewable energy policy|Public policy landscape|paragraphs=1-2}} |
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== Examples == |
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=== China === |
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{{excerpt|Energy policy of China|paragraphs=1-2|file=no}} |
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===India=== |
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{{excerpt|Energy policy of India|paragraphs=1|file=no}} |
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===Ecuador=== |
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{{excerpt|Energy policy of Ecuador|paragraphs=1|file=no}} |
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=== European Union === |
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[[File:RF NG pipestoEU.gif|thumb|Russia was a key [[Russia in the European energy sector|oil and gas supplier to Europe]] (map from 2013). This changed with the [[Russian invasion of Ukraine]] in 2022.]]{{excerpt|Energy policy of the European Union|paragraphs=1|file=no}} |
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===Russia=== |
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{{excerpt|Energy policy of Russia|paragraphs=1|file=no}} |
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=== United Kingdom === |
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{{excerpt|Energy policy of the United Kingdom|paragraphs=1|file=no}} |
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===United States=== |
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{{excerpt|Energy policy of the United States|paragraphs=1-3|file=no}} |
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== By country == |
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Energy policies vary by country, see tables below. |
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{{world topic|Energy policy of|title=Energy policy by country|noredlinks=yes|state=expand}} |
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{{world topic|Energy in|title=Energy by country|noredlinks=yes|state=expand}} |
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==See also== |
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{{Portal|Energy|Renewable energy}} |
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*[[Energy economics|Energy balance]] |
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* [[Energy industry]] |
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*[[Energy security]] |
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*[[Energy supply]] |
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*[[Energy transition]] |
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*[[Environmental policy]] |
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*[[Sustainable energy]] |
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*{{in title|Energy policy of}} |
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==References== |
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{{Reflist}} |
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==External links== |
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{{Commons category|Energy policy}} |
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*[https://www.iea.org/policies/about ''"Energy Policies of (Country x)"'' series], [[International Energy Agency]] |
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*[http://esa.un.org/un-energy UN-Energy] {{Webarchive|url=https://web.archive.org/web/20110625024206/http://esa.un.org/un-energy/ |date=2011-06-25 }} - Global energy policy co-ordination |
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*[http://www.ren21.net Renewable Energy Policy Network (REN21)] |
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*[http://www.enerdata.net/enerdatauk/knowledge/eshop/market-report-by-category.php Information on energy institutions, policies and local energy companies by country, Enerdata Publications] |
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{{Public policy}} |
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[[de:Energiepolitik]] |
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{{Footer energy}} |
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[[fr:Politique énergétique]] |
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{{Environmental social science}} |
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[[sl:Energetska politika]] |
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{{Authority control}} |
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{{DEFAULTSORT:Energy Policy}} |
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[[Category:Energy |
[[Category:Energy policy| ]] |
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[[Category:Energy]] |
[[Category:Energy economics]] |
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[[Category:Environmental social science]] |
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[[Category:Power control]] |
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[[Category:Climate change policy]] |
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[[Category:Energy|Policy]] |
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[[Category:Public policy]] |
This article's lead section may be too short to adequately summarize the key points. Please consider expanding the lead to provide an accessible overview of all important aspects of the article. (June 2022)
|
Energy policies are the government's strategies and decisions regarding the production, distribution, and consumption of energy within a specific jurisdiction. The energy sector emits more greenhouse gas worldwide than any other sector.[1] Therefore, energy policies are closely related to climate change mitigation policies. These decisions affect how high the greenhouse gas emissions by that country are. The main components of energy policy include legislation, international treaties, energy subsidies and other public policy techniques.
Energy is essential for the functioning of modern economies because they require energy for many sectors, such as industry, transport, agriculture, housing.
Access to energy is critical for basic social needs, such as lighting, heating, cooking, and healthcare. Given the importance of energy, the price of energy has a direct effect on jobs, economic productivity, business competitiveness, and the cost of goods and services.
Frequently the dominant issue of energy policy is the risk of supply-demand mismatch (see: energy crisis). Current energy policies also address environmental issues (see: climate change), particularly challenging because of the need to reconcile global objectives and international rules with domestic needs and laws.[2]
The "human dimensions" of energy use are of increasing interest to business, utilities, and policymakers. Using the social sciences to gain insights into energy consumer behavior can help policymakers to make better decisions about broad-based climate and energy options.[3] This could facilitate more efficient energy use, renewable-energy commercialization, and carbon-emission reductions.[4]
The attributes of energy policy may include legislation, international treaties, incentives to investment, guidelines for energy conservation, taxation and other public policy techniques. Economic and energy modelling can be used by governmental or inter-governmental bodies as an advisory and analysis tool.
Energy planning is more detailed than energy policy.
Some governments state an explicit energy policy. Others do not but in any case, each government practices some type of energy policy. A national energy policy comprises a set of measures involving that country's laws, treaties and agency directives.
There are a number of elements that are contained in a national energy policy. Some important elements intrinsic to an energy policy include:[5]
Energy policy sometimes dominates and sometimes is dominated by other government policies. For example energy policy may dominate, supplying free coal to poor families and schools thus supporting social policy,[6] but thus causing air pollution and so impeding heath policy and environmental policy.[7]: 13 On the other hand energy policy may be dominated by defense policy, for example some counties started building expensive nuclear power plants to supply material for bombs.[8] Or defense policy may be dominated for a while, eventually resulting in stranded assets, such as Nord Stream 2.
Energy policy is closely related to climate change policy because totalled worldwide the energy sector emits more greenhouse gas than other sectors.[1]
Energy policy decisions are sometimes not taken democratically.[9]
In 2019, some companies “have committed to set climate targets across their operations and value chains aligned with limiting global temperature rise to 1.5°C above pre-industrial levels and reaching net-zero emissions by no later than 2050”.[10] Corporate power purchase agreements can kickstart renewable energy projects,[11] but the energy policies of some countries do not allow or discourage them.[12]
Public policy has a role to play in renewable energy commercialization because the free market system has some fundamental limitations. As the Stern Review points out: "In a liberalised energy market, investors, operators and consumers should face the full cost of their decisions. But this is not the case in many economies or energy sectors. Many policies distort the market in favour of existing fossil fuel technologies."[13] The International Solar Energy Society has stated that "historical incentives for the conventional energy resources continue even today to bias markets by burying many of the real societal costs of their use".[14]
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This article needs to be updated. Please help update this article to reflect recent events or newly available information. (April 2024)
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![]() |
This article needs to be updated. Please help update this article to reflect recent events or newly available information. (March 2022)
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The energy policy of the United States is determined by federal, state, and local entities. It addresses issues of energy production, distribution, consumption, and modes of use, such as building codes, mileage standards, and commuting policies. Energy policy may be addressed via legislation, regulation, court decisions, public participation, and other techniques.
Energy policies vary by country, see tables below.
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