Introduction of Renewable EnergyEach year municipalities and municipal groupings produce and procure a massive amount of electrical and heat energy for their own use. In recent years, the deregulation of the electricity markets has altered the position of municipalities as local energy producers. Municipalities can now act as energy producers, procurers or both.
Renewable sources of energyEnergy production always has negative impacts on the environment. Because of this municipalities must take account in their energy procurements and production to the environmental effects of different production forms.
By producing energy from renewable energy sources the promotion of sustainable development is being realized in municipalities. Apart from a reduction in net emissions the use of renewable energy sources increases wellbeing regionally. For example, procurement of local biofuel by heating businesses strengthens the economic life locally by creating new jobs.
Many municipalities are in sparsely populated areas in possession of buildings, such as schools, that are not within on the district heating network or in which obsolete oil-fired heating systems need to be refurbished. The heating of these buildings could be shifted to using of renewable energy sources.