This report identify non-auction policy instruments to enable comparison between auctions and other policy options.
The aim of this report is to identify non-auction policy instruments or design elements that share some or all of the same policy goals as auctions and to enable comparison between auctionAn auction is a market mechanism with the aims of allocating... and non-auction policy options. The policy goals in question include static efficiencyStatic efficiency (i.e. cost-effectiveness) is attained when... (i.e. improving cost-effectiveness), increasing market integration and cost and volume control of total supportJust like administratively set support, auction-allocated su... payments.
The report extends the framework established in report D2.2 to a consideration of non-auction policies. Taking outputs of WP2 and the considerable literature on RES supportJust like administratively set support, auction-allocated su... as a starting point, promising non-auction policy alternatives (instruments such as feed-in tariffs, feed-in premiums and tradable green certificates, among others, and the design elements within those instruments) are identified. The pros and cons of the alternatives with respect to the assessment criteria considered in WP1 are assessed. This will provide policy makers with insight on the comparison of auctions and alternative policy formulations.
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