2011.10.22

Renewable Energy: Ontario’s New Gold Rush

/news.nationalgeographic.com September 30th 2010/

SignSpotting

• Ontario’s soler panel generation business and the government’s support
• Why and how renewable energy boom has arisen in Ontario
• Troublesome aspects the support program holds in its structure

Briefing

• Last year, Ontario emerged as the renewable energy conscious state in the U.S. It started the financial support program for solar panel installers in the state, which was targeted widely on small investors: households, small business, farms and so on. 
• Ontario used to be the fossil fuel driven state. But the Northeast blackout in 2003 has changed the state’s energy policy and even industry policy as well. The government replaced on that year launched the Green Energy Act in 2009  and provided the contract to buy renewable energy at considerably high price. This movement results in 23,000 application for the government program, and the encouragement for green energy business now holding 50,000 workers. 
• But the green energy industry can not survive in the competition with other energy sources without government subsidies, because it cost much more than conventional power plants mainly for expensive facility investment. This fact is reflected on rising electricity cost to ratepayers. The government support program and renewable energy business seem doubtful about its sustainability. 

Opinion

Renewable energy is a popular topic also in Japan which experienced nuclear power plant disaster in the massive earthquake in March 11th. Everyone seems to get attracted on the battle between the supporter and opponent toward nukes. But no matter which wins, we need to think about renewable energy again since the last oil shock. Fortunately, Japan is the most progressive country of solar generation next to Germany. But the installation rate of solar panel into households is relatively low, compared to the high standard of the panel technology, partly because the selling price is on the same standard as other energy providers unlike Ontario’s example.