An investigation on the main influencing dynamics in renewable energy development: A systems approach

Renewable energies will have a significant share in the future world's energy portfolio. Hence, optimum policy making to develop renewable energies' market is of high importance. To do so, obtaining comprehensive, integrated, and appropriate understanding of dynamics of the development is necessary for decision makers. This paper is to make that understanding through a systems approach. Using causal loop diagram, the main loops and feedbacks creating the dynamics are described. Although there is noteworthy literature in the area, still two issues have not been studied broadly, namely, "public beliefs to use renewable energy" and "benefits from producing renewable energy". Results are representative of the fact that while competitiveness of renewable energy (from price perspective) is low in comparison to fossil fuels, they develop slowly although technology progress (which reduces production costs) and public beliefs (to consume more renewable energy) accelerate the development. Moreover, environmental concerns and limits have noteworthy effects.