Feed-in tariffs responsible for most renewable energy
November 26, 2011 by admin
Filed under For A Cleaner Planet
by John Farrell.
Cross-posted from CleanTechnica.
Feed-in
tariffs are a comprehensive renewable energy policy responsible for 64 percent of the world’s wind power and almost 90 percent
of the world’s solar power (see charts below). With simplified grid connections, long-term
contracts, and attractive prices for development, that’s policy that
works.
The basic premise of the feed-in tariff is that the
electric utility must connect any wind turbine or solar panel (or other
generator) to the grid and buy all the electricity via a long-term
contract with a public price. Its use in Germany and its simplicity
have led to mass local ownership of renewable energy in that country.
In
the U.S., the policy is spreading, having been adopted by multiple
municipal utilities in Florida, Indiana, and California, as well as
states including Rhode Island, Hawaii, and Vermont.
To see more coverage on feed-in tariffs (also known as CLEAN Contracts in the U.S.), go here, or see some of the Institute for Local Self-Reliance’s other work on the subject:
Feed-in tariffs in America: driving the economy with renewable energy policy that works
Pricing CLEAN contracts for solar PV in the U.S.
Bringing renewable energy home: A conference on feed-in tariffs
Related Links:
The Problem with the “Renewables are Reaching Cost Parity” Meme
China set to surpass U.S. in solar installation