Connecting countries to climate technology solutions
English Arabic Chinese (Simplified) French Russian Spanish Yoruba

Innovative Feed-In Tariff Designs that Limit Policy Costs

Publication date:
Author:
Claire Kreycik, Toby Couture, Karlynn Cory
Type of publication:
Relevant for:
Sectors:
Knowledge partner:

This report explores mechanisms that policymakers have implemented to limit feed-in tariff policy costs. If designed clearly and transparently, such mechanisms can align policymaker and market expectations for project deployment. Three different policy tools are evaluated: (1) caps. (2) payment level adjustment mechanisms and (3) auction-based designs. The report employs case studies to explore the strengths and weaknesses of these three cost containment tools.