Many studies have concluded that RETs are a viable means to increase access to electricity in developing countries, as well as helping to reduce emissions of greenhouse gases.

Yet it is not always obvious how to reconcile a desired expansion of access to affordable electricity with an increase in the installed capacity of RETs that generally have higher per kWh up-front capital costs than fossil fuel generation.

This article aims to provide a summary to governments and stakeholders in developing countries on the function, strength and potential drawbacks of 'feed in tariffs' as one possible market incentive to increase the share of grid- and mini-grid-connected renewable electricity generation.