With wind and solar generators becoming more mainstream sources of energy, governments around the world are weaning the industry off subsidies and creating new openings for older utilities built on coal and nuclear power to land their own renewable-fuel projects.
Across Europe, Latin America and India, major electricity suppliers including Enel SpA, Vattenfall AB and Engie SA are proposing to build wind and solar farms, offering low-cost construction bids to win energy-supply contracts. While that can mean cheaper power for consumers, it's eroding profit margins and increasing competition for small, independent generators who have dominated what was once considered a fringe industry.
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European lawmakers demand action to rein in gas prices, and the EU Commission has drafted a plan. However, gas prices constitute tricky puzzle: No matter how it’s approached, Europe faces an energy shortage in the next six months. The only way to help consumers is through aid, but this is a potentially costly and dangerous path, says analyst.