Journal Article

Comment on ‘‘Comparing the feed-in tariff incentives for renewable electricity in Ontario and Germany’’ by Mabee, Mannion, and Carpenter

Author

  • Matthias Weitzel
Publication Date

In a recent article Mabee et al. [2012, Energy Policy 40 (1), 480–489] describe the German legislation to promote renewable electricity generation (Erneuerbare-Energien-Gesetz). The erroneous assumption that anannual degression of feed-in tariffs for any given power generating facility are stipulated in the law leads to wrong calculation of net present values of the revenues tream. Reduction of feed-in tariff rates only holds for new additions. There is however one exception in offshore wind energy where the operator can opt for a degression. The implications of the newly introduced option are discussed in this comment.

Info

JEL Classification
Q42, Q48
DOI
10.1016/j.enpol.2012.02.015

Key Words

  • Feed-in tariffs
  • Price degression
  • Renewable electricity

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