Recommended Reading on FITs

The WFC thanks the authors of the following papers for their permission to post them here, and for their support of our work.

Promoting Renewable Energy Sources in Portugal: Possible Implications for China, by Katrin-Dorothee Heer and Dr. Ole Langniß

This paper summarizes the Portuguese policy measures promoting renewable energy. It discusses the principal supporting instruments that have been established, with particular emphasis on the feed-in tariff regulation for electricity from renewable sources. A striking element of that regulation is the specific formula that is used to calculate the effective remuneration for renewable energy projects, on a monthly basis, with respect to the individual features of the power generation facility in question. This formula is therefore presented in some detail.


Risk, Innovation and Market Rules: A Comparison of the Renewable Obligation in England and Wales and the Feed-In System in Germany
, by Mitchell et al

This paper analyses two new mechanisms in detail: the England and Wales RO (The Renewables Obligation) and the German EEG (Erneuerbare Energien Gesetz). Both mechanisms have developed out of specific political considerations; both exist within very different institutions; and both have very different benefits. The EEG has been successful in deployment; in reducing risk; in developing an advocacy coalition; and in developing a new industry. The RO does not reduce risk (whether price, volume and market) which makes it difficult to obtain financing, so limiting new entrants and the development of an advocacy group. The large generators, so far, are able to carry the risks and do very well out of the RO.


Effectiveness through Risk Reduction: A Comparison of the Renewable Obligation in England and Wales and the Feed-In System in Germany, by Mitchell et al

This paper analyses two renewables support mechanisms in detail: the England and Wales RO (Renewables Obligation) and the German EEG (Erneuerbare Energien Gesetz), with a particular focus on how they reduce risk for generators.


Comparison of Feed in Tariff, Quota and Auction Mechanisms to Support Wind Power Development,
by Lucy Butler and Karsten Neuhoff

Butler and Neuhoff examine the market-based policies that have been adopted in Germany and the UK to encourage the development of renewable energy sources. Each policy is assessed on the basis of two criteria: the price of power generated and the capacity installed. An analysis of previous experience gives an understanding of the problems encountered in implementing these policies, and the obstacles that prevent the realisation of policy objectives.


Feed-in systems in Germany and Spain - a comparison
, by Mario Ragwitz and Claus Huber

As indicated by the title, this paper analyses the similarities and differences between the German and Spanish FIT systems.


Renewable Energy Policy Mechanisms
, by Paul Gipe

Paul Gipe?s paper demonstrates the benefits of FIT systems and their applicability in the US. The paper goes much further, however, giving a guide to the other policy mechanisms that are used to support renewables.


Good Environmental Governance for Renewable Energies ? The Example of Germany ? Lessons for China?, by Mischa Bechberger and Danyel Reiche


Bechberger and Reiche show very effectively how the successes of the German FIT could be applied in the case of China.


Monitoring and evaluation of policy instruments to support renewable electricity in EU Member States, by Ragwitz et al 

Ragwitz et al show how the different support mechanisms in the EU have performed, and analyse barriers to renewables expansion.


Harmonisation of RE laws in the EU with a FIT, by Munoz et al

This paper focuses on the harmonisation of feed-in laws in the European Union as a support mechanism for the promotion of renewable electricity.


Evaluation of different feed-in tariff design options - Best practice paper for the International Feed-in Cooperation
, by Klein et al

This paper describes and analyses the feed-in tariff designs applied in the Member States of the European Union. Best practices emerge from the analysis, and offer interested policymakers a useful tool for understanding how and why different design options work.


National Policy Instruments: Policy Lessons for the Advancement & Diffusion of Renewable Energy Technologies Around the World
, by Janet Sawin

Janet Sawin?s paper is a must-read on the different support schemes, describing and critiquing each of them, as well as offering conclusions on good policy design.


A Comparison of Wind Power Industry Development Strategies in Spain, India and China, by Joanna I. Lewis

This paper reviews the respective policy environments for wind energy in India, China, and Spain and how these policies have influenced the rise of a major domestic wind turbine manufacturer in each national context. It then examines and compares the manner in which Suzlon, Goldwind and Gamesa became domestic leaders in their respective countries? wind industries, with a focus on the acquisition of technology, technological know-how, and the associated intellectual property rights that allowed each company to become a leading wind turbine manufacturer in its own domestic market.

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