Barriers to Market Entry for RES
¥Costs and pricing: distortion from subsidies for competing fuels;
fluctuation of oil and gas prices; high initial
capital costs; environmental externalities
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¥Legal and regulatory: Lack of legal framework for independent power producers; planning restrictions; grid access; liability
insurance requirements (net metering)
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¥Market performance: lack of access to credit; Perceived technology performance uncertainty and risk; Lack of technical or
commercial skills and information
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¥ Q: How can these be overcome?