Abstract
In keeping with global warming crisis and alleviating climate change impact, the countries of the world applied various favorable instruments to promote the development of renewable energy during the last decade. In 2010, International Energy Agency (IEA) proposed the Blue Map Scenario indicating that those who intend to achieve the goal of diminishing 50% volume of greenhouse gas emission before 2050, four energy technologies must be focused. They are: uplifting electricity efficiency, renewable energy, nuclear power and carbon capture and storage. Among them, Energy Conservation and Carbon Reduction contributed 21% of the total outcome. It is obvious that the importance of the development of renewable energy cannot be ignored. Starting with the report of Renewable Energy-Market and Policy Trends in IEA countries made by IEA, this study introduced the policy instruments of renewal energy applied by major countries worldwide. Apart from the application of capital grants, Fit in Tariff, Renewable Portfolio Standard and tax credits, the study also focused on third-party finance, which has become more and more important since the last decade. Furthermore, it is hoped that this study can summarize significant inspirations from the development of renewable energy by reviewing the finance mechanisms applied by major countries worldwide since the last decade. Also found in this study is that in addition to subsidy, FIT and RPS, a majority of foreign countries applied financial mechanism; such as, low-interest loan and loan guarantee, etc.; to enable enterprises to acquire sufficient fund procurement. By contrast, our government focused on subsidy, FIT and bidding systems only regardless of other procurement; such as loan guarantee. And thus make those enterprises that intend to develop renewable energy ended prematurely because of the difficulties of fund raising during the early stage of their establishments. Hence, it is hoped that this study may inspect the shortcomings of the mechanism in our country by referring to successful experiences of foreign legislative examples with an aim to proposing some opinions on the measures of developing renewable energy in Taiwan nowadays and offering a direction to the promulgations and executions regarding relevant renewable energy to follow in Taiwan in the future.