Structural analysis of the economic impact of the buy-back subsidy and the feed-in tariff on the residential PV systems in Japan.

2014 Fiscal Year Final Research Report

• Project/Area Number: 25780164
• Research Category: Grant-in-Aid for Young Scientists (B)
• Allocation Type: Multi-year Fund
• Research Field: Economic policy
• Research Institution: Hosei University
• Principal Investigator: MYOJO Satoshi 法政大学, 経済学部, 准教授 (70455426)
• Project Period (FY): 2013-04-01 – 2015-03-31
• Keywords: 補助金 / 余剰電力買取制度 / 太陽光発電 / イノベーション

Outline of Final Research Achievements

We estimate structural demand-supply models to evaluate the diffusion effect of the buyback subsidy and the feed-in tariff (FIT) for the residential-use photovoltaic (PV) systems in Japan. We found that the subsidy program boosted PV installation more than 30% and the FIT also prospected to accelerate future installation under the condition that future buyback prices of electricity would be kept high enough as well as sufficient cost reduction of PV would attained. These diffusion policy, however, do not make sense with respect to the social welfare unless we assess the economic value of the reduction of greenhouse effect gas much more than its market value and/or social cost estimated.

Free Research Field

産業組織論