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Renewable energy optimism

Report suggests 80% of world’s energy could be supplied by renewable energy sources by 2050. It is interesting how research is showing that renewables are not just green romanticism. Renewable targets are important means of getting things going – developing expertise, encouraging learning by doing, overcoming information and technology-based market failures that imply under provision and in overcoming distortions induced by the lack of credibility in carbon pricing policies. And of course carbon pricing and comprehensive pricing of all the externalities associated with use of carbon-based fuels will prove decisive.

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