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Feed In Tariffs–Germany Shows They Work; California Study Underscores the Promise

Submitted by Leslie Glustrom on July 15, 2010 – 6:58pm

Feed In Tariffs are the policy that Germany has used to drive a very robust wind and solar market in a country that has very little sunshine! Now over 60 countries are proceeding with Feed in Tariff policies and these are leading to almost miraculous levels of renewable energy installations and investments.

The name derives from the “tariff” or rate that is paid for small generators to “feed-in” renewable energy to the grid. The development of Feed In Tariff or FIT policy has allowed the development of renewable energy to become a business proposition–instead of just a desire to do what is right.

Wind pioneer Paul Gipe has followed the development of FIT policies around the world and keeps an excellent catalogue of developments on his website at http://www.wind-works.org/articles/feed_laws.html.

One article on Paul Gipe’s website notes that using FIT policy, Germany installed more solar photovoltaic systems in the first quarter of 2010 (714MW)than the United States installed in all of 2009 (approx 435 MW)! That is just one of the examples of the power of FIT policy. Go here to read the details.

Also, on July 7, 2010 a study from Daniel Kammen’s group at the University of California-Berkeley underscored the benefits that a FIT policy for California would have–for meeting the Renewable Portfolio Standard, for creating jobs, for increasing state revenues and for stimulating new economic development. Read the summary of the California study here.

Information on FITs can also be found on the website of the Alliance for Renewable Energy.

In Colorado, a group has begun discussing the development of FIT policies for Colorado, holding meetings, workshops and posting key studies. Workshops on Feed In Tariffs are being hosted by Community in Power. An evening talk and all day workshop are scheduled for July 21-22, 2010 in Boulder and should be very informative. Your attendance is encouraged, or if you can’t make it (as I can not) then try reading some of the articles at the above links. They will make you smile–and perhaps drool…:)

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