The Role of State Policy in the Pennsylvania Renewable Energy Sector: A Qualitative Study of Business Perspective

The purpose of this study is to provide information on the role that state policy, specifically the Alternative Energy Portfolio Standards Act (AEPS), plays in the renewable energy sector in Pennsylvania from the perspective of businesses operating in this field within the state. Data was gathered through interviews with renewable energy firms in Pennsylvania, including component manufacturers; installers; contractors; large-scale production facilities; and retail energy providers. Hypotheses tested include that the AEPS has a positive influence on renewable energy companies and jobs in the state; design and installation businesses who sell directly to the consumer are more likely than other companies to perceive financial incentives as important; and that the AEPS has been a significant influence in attracting companies to Pennsylvania or in encouraging existing Pennsylvania companies to enter the renewable energy sector. Recommendations for developing effective renewable energy policies are presented, including implementing an integrated suite of policies; using the policies of other states as models; and collaborating with university partners to gather new knowledge on renewable energy policy