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Given the desired level of investment in renewable energy customers’ photovoltaic systems reduce the quantities
technologies required to begin the transition to cleaner of electricity needed from the utility (Kind, 2013). Richter
electricity generation, globally policy makers and regulators (2012) noted leaders of electric utilities could ensure
are creating incentives to encourage investments in these that utilities remain competitive by creating business
technologies (Berg, 2013; Lehr, 2013; Nagar, 2011). In opportunities from investing in renewable energy
some countries, regulators have successfully introduced technologies and developing business models for these
polices that have resulted in increasing investments in investments. Richter argued that electric utilities’ market
renewable energy production. For example, Sovacool share would decline with increasing number of customers
(2013) reviewed the strategies used by Denmark in producing and selling their own electricity. Richter and Lehr
becoming 0% dependent on foreign sources of energy. (2013) suggested that leaders of electric utility companies
Sovacool found that Denmark’s regulators implementation should not limit their investments to utility-scale renewable
of taxes on carbon-dioxide emissions, subsidiaries for energy technologies but look to take advantage of the
renewable energy investments, feed-in-tariff mechanisms, growth opportunities associated with investing in the
and aggressive energy efficiency goals were responsible customer-side of renewable energy technologies. Both
for its 0% dependence on fossil fuel. Likewise, in Germany Lehr and Richter noted that with supportive regulatory
and China, the introduction of effective policies resulted in frameworks, leaders of electric utility companies could
favorable investments in renewable energy technologies change the business of models of utilities to derive
in these regions (Haley & Schuler, 2011). The results opportunities from investing in the various types of
from some studies (e.g. Masini and Mencichetti, 2013) renewable energy technologies. According to these
suggested that the implementation of different policies authors’ recommendations, electric utilities will continue
result in varying levels of renewable energy investments. to remain competitive as electricity markets transform if
In the Caribbean, there exist some level of incentives for mangers of electric utility companies are able to harness
renewable energy production, yet only 9% of electricity the opportunities provided by customer-side renewables.
generated is from these technologies (Caricom, 2013).
Jacobs et al. (2013) performed an analysis of renewable CompLExIty
energy incentives in the Latin America and Caribbean Rogers (2005) defined complexity as the perceived degree
region and found there were no supporting policies of difficulty in understanding and using the innovation
promoting investments in renewable energy production by the potential adopter. Electric utility professionals
in these countries. In addition, and supported by Berg have significant knowledge and expertise in fossil fuel
(2013), the presence of effective incentives and the technologies and will need to develop similar experience
absence of regulatory barriers could encourage leaders of in renewable energy technologies. To transition to
electric utilities to invest in renewable energy technologies. increasing renewable energy technologies will take time.
In some countries, there is a market for renewable electricity. Until such time, professionals in the electric utility field will
For example, Delmas and Montes-Sancho (2011) found need to build experience and knowledge in renewable
that more customers are willing to pay for green electricity energy technologies while maintaining their capabilities
as the installed capacity of renewable energy increases. in operating fossil fuel technologies. Ratinen and Lund
Other researchers found there is a niche market for (2014) performed a case study to examine the slow rate
electricity supplied from renewable energy sources. The of adoption of renewable energy technologies by electric
results of studies indicate customers are willing to pay utilities in Denmark, Spain, Finland, and Germany. Like
a premium for electricity (Kim, Park, Park, & Heo, 2013) Masini and Menchetti (2013), Ratinen and Lund (2014)
and other specifically found higher income earners are found that inexperience with renewable power generation
willing to pay these premiums for green electricity (Oliver, was one of the contributing factors to the slow rate of
Volschenk, & Smit ,2011). Some researchers found that renewable energy technologies adoption amongst the
customers were willing to pay a price mark up between utilities. Further research suggests that utilities’ failure
5% and 10% of their monthly electricity bills (Gerpott to overcome knowledge barriers could have financial
& Mahmudova, 2010). D’Este et al. (2012) noted that implications. Shah, Palacios, and Ruiz (2013) performed a
the presence of market barriers deter investments in case study to explore mangers of electric utility companies’
renewable energy technologies. Electric utilities can utilize rigidities to adopting renewable energy technologies.
market surveys to explore customer’s willingness to pay Shah et al. (2013) sought to examine what contributed
premium or electricity. to Iberdola’s failure to maintain competitive advantage
in renewable developments. The results from the study
The landscape of energy markets will transform over showed that the leaders of the largest renewable energy
time with increasing developments and deployment developer and utility in Spain failed to embrace and gain
of renewable energy technologies. The installations of knowledge in other renewable energy technologies. Shah et

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