Renewable Energies in the Baltic Sea Region

This paper was first published by Factwise.

As a proponent of renewable energy, one may often be asked questions like: "Is it possible to replace all our energy sources with renewable production?" Or: "Can we really phase out both fossil fuels and nuclear power at the same time?"

The answer is easy: "Of course we can, it is just a matter of cost." As "costs" we would include both financial costs (as in the cost to cover a certain percentage of the land with solar panels) and external costs. Among external costs we may have to include items like the loss of valuable land for food production (to produce bio-fuels); the loss of habitats for both wildlife and people (to build large scale hydro-power) or the social unrest that could be the result of a forced, socially unaccepted development of wind power.

We may even conclude that the questions were the wrong ones. More relevant questions would be: "How long will it take us to change energy production to 100 percent renewable without unacceptable costs to society?" Or: What are the most cost efficient measures to promote renewable energy if we include external costs in the calculations?"

This paper will not be able to give exact answers to these questions, but it will attempt to provide some first steps to how they can be approached in the context of electricity production in the Baltic Sea region.

As a starting point, the paper lists some of the most important actors and processes in the field of renewable energy in the region. It goes on to provide an overview of some of the measures and mechanisms already in place, or in the making, for the region to promote the use of renewable energy sources. Further, it makes an analysis to what extent these measures are sufficient to make full use of the regions potential. Finally we try to identify some gaps in renewable energy policy in the region and give some recommendations on further policy development.

It is our hope that this discussion paper will be used as inspiration in the development of a scenario of regional cooperation to make the Baltic Sea Region a forerunner and showcase for the rest of the world in the field of sustainable energy production.