The Effectiveness of China's Renewable Energy Policy: An Empirical Evaluation of Wind Power Based on the Framework of Renewable Energy Law and Its Accompanying Policies

This paper develops a fixed effect model to evaluate the effect of wind power policy using a panel dataset covering 30 provinces in China during the period 2000-2017 based on the framework of the Renewable Energy Law and its accompanying policies. The empirical results show that three mechanisms, the Total target mechanism, the Feed-in tariffs (FIT) mechanism, and the Special fund mechanism, are significant in improving wind generation and capacity. The Total target mechanism's impact on wind capacity is greater than is that of generation, the effect of both the FIT mechanism and the Special fund mechanism is greater on wind generation than on capacity. The FIT decline mechanism and the Cost sharing mechanism have mutually reinforcing relationships in respect of wind development. The Mandatory connection and purchase mechanism's effect on wind capacity is significant, whereas its effect on wind generation depends on the specific implementation policy. Conclusions and policy recommendations built on these findings are provided at the end of paper.