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Revised version published in Harnessing …

EI @ Haas WP 202R Building Blocks: Investment in renewable and Non- renewable Technologies James Bushnell Revised April 2010 Revised version published in Harnessing renewable Energy in Electric Power Systems, Resources for the Future Press, 2010. Energy Institute at Haas working papers are circulated for discussion and comment purposes. They have not been peer-reviewed or been subject to review by any editorial board. 2010 by James Bushnell. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit is given to the source.

4 the revenues earned by renewable suppliers. The chapter first provides a brief background on this question, then describes the equilibrium conditions that form the stylized investment model.

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