Germany added further credence to the Feed-in Tariff system at the Sydney Energy convention last month by asserting that their success in the renewable energy sector has been based on Government legislation there which promotes investment in renewables.

The payment of premium rates for energy supplied to the national grid by the German Government combined with decades of green issues being pushed to the fore in Scandinavia and northern Europe has seen Germany become a world leader in the field of Solar and Wind energy. This will certainly come as a boost to environmental groups in the UK where important government legislation, passed at the end of November will see the UK compete in this area by 2010.

In the UK a number of initiatives have been taken, including the installation of industrial wind turbines in public spaces such as supermarkets and petrol stations. It is widely believed that when more ‘solar-rich’ states such as Australia and South Africa put their weight behind the Feed-in Tariff system, there could be no limit to its success across the globe.

Britain‘s controversial Energy Bill was passed yesterday, signalling a significant move towards the use grid connected, renewable energy sources across the UK.

The new laws will see the UK cut gas emissions by 80 per cent by 2050 and open the door for feed in tariffs, with the Government paying owners of grid connected solar and wind systems a premium rate for the energy they produce.

Environmental groups and members of the renewable energy industry have warmly welcomed this new legislation. The Renewable Energy Association released the statement,

“The Renewable Energy Association is delighted that that government has recognised the advantages of a tariff-style incentive scheme which will open doors for small-scale producers of renewable heat, electricity and bio-methane,” Philip Wolfe, Director

It is generally accepted that the progressive feed-in tariff policies of European countries such as Germany, France and Spain have stimulated and accelerated the growth of renewable energies there.

Friends of the Earth (FOE) along with other environmental groups, companies and trade unions have given their backing to the proposed introduction of feed-in tariffs when the government’s Energy Bill is debated at the end of the month. Supporters of the bill maintain that feed-in tariffs will be absolutely vital to the UK meeting green targets as they will offer an attractive incentive to renewable investors. The principle of feed-in tariffs is that the government will pay a fixed rate for energy fed back into the national grid by small, renewable energy producers, and has been highly successful around the globe, no more so than in Germany.

However, FOE have stated that it is the essential that the UK come up with a feed-in tariff which sets out a clear timetable for implementation in order to attract investment in the initial stages:

“A strong feed-in tariff is desperately needed to give homes, businesses, communities and local authorities a financial incentive to fit renewable energy systems and play a major role in tackling climate change.

“Unfortunately the government’s woolly proposals are fundamentally flawed and will not guarantee that an effective scheme will be introduced. Proposals for a feed-in tariff must be strengthened to ensure that the UK reaps the benefits of its abundant supply of clean, green energy” asserts Ed Matthew, spokesman for Friends of the Earth.