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The feed-in tariff: tripping up unexpecting countries
The arrival of the feed-in tariff (FiT) was a much-anticipated one, something that would boost the solar sector and give countries around the globe the incentive they needed to convert from conventional energy sources into the renewable sector. No one could have predicted the upheaval that could have been brought with this seemingly positive move. Spain The first and most prominent downfall came in the shape of Spain. It introduced its generous FiT rate of up to €0.44/kWh back in 2007 when the government expected a steady stream of investment. In response, there came a flood. The country was left accounting for more than 40% of the world's total solar installations in 2008. This huge uptake gave the powers-that-be no choice but to revise the FiT rate, causing Spain to became one of the principal causes of the downturn in the solar industry. Some might say that the evident success stories of other countries like Germany caused a trend to be set for others. Yet in their infancy, unre...
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