Renewable energy offers Prince Edward Island (PEI) a local source of power that is competitive with imported power. Because the island has no fossil fuel reserves and no opportunities for hydroelectric power, electricity has always been expensive. Electricity imports are constrained by the capacity of the two submarine cables linking PEI with New Brunswick. PEI has the best wind capacity of any province in Canada.
PEI created an effective mechanism for renewables development in the form of the PEI Energy Corporation. This publicly-owned development model allowed the province to quickly create a wind-based energy sector. Instead of having to attract external private investors, it was possible to use provincial resources to demonstrate the viability of the concept. The Energy Corporation has been extremely successful in fundamentally reordering the electricity sector on the island in a short period of time.
This paper examines the experience in PEI, and proposes four main findings: i) Small, mainly rural territories can adopt innovative and effective renewable energy strategies that contribute to economic development; ii) Investment in renewables can be justified in terms of the power produced rather than any additional development impacts; iii) The publicly owned development model can stimulate investment in small economies with limited investment capital of their own; iv) Creating local investment opportunities and spreading renewable energy benefits locally helps to maintain local support for renewable energy deployment.
The energy sector is a pillar of Québec’s regional competitiveness, and the province is also making investments to improve its specialisation in renewable energy.
This case study concentrates on the island of Lolland in the Region Zealand in Denmark, home to 46,000 people. It used to be a manufacturing and agricultural powerhouse due to its shipbuilding industry and intensive sugar beet production, supported by Common Agricultural Policy (CAP) subsidies.
Hydropower, biomass, and wind dominate the regional energy profile in Middle Norrland. Regional specialisation in energy is mirrored by the presence of locally-owned utilities, which provide the Middle Norrland economy with cheap energy and ancillary services.
Friesland’s RE policy is one response to the challenges posed by an ageing population, the unsustainability of the agriculture sector, poor economic competitiveness and the need for more high-skilled employment.