Why not let the market decide electricity sources and costs? Why do we need an RPS policy?
Fossil fuel sources have been operating for decades and are generally lower cost sources of electricity. Today, in the face of increasing environmental health problems and global warming concerns, we are looking to new sources of energy. Renewables offer some of the most environmentally friendly, sustainable forms of energy available, but the industry has many challenges to overcome. Like any new technology, renewables struggle to compete financially with “traditional” energy sources like fossil fuels. Renewables are disadvantaged by high capital costs, and the market’s failure to capture non-monetary benefits such as reduced air emissions, economic development benefits, and the increased national security that comes from using indigenous resources. Policies like New York State’s RPS will help the renewable energy industry to develop infrastructure, reach market potential, and overcome the steep learning curve typical of new industries. The RPS program will not be permanent. Ideally, u
