Feed-in Tariffs

Feed-in tariffs are a policy mechanism designed to encourage the adoption of renewable energy sources, such as solar or wind power. Under this system, individuals or companies that generate renewable energy are guaranteed a fixed payment for the electricity they produce and feed back into the grid. This payment often lasts for a set number of years and is usually higher than the market rate, providing an incentive for investment in clean energy technologies. By ensuring stable revenue for producers, feed-in tariffs help accelerate the transition to more sustainable energy systems.