Law, such as in Germany and Spain which requires utilities to purchase electricity from renewable sources and allows private investors developing a solar power plant to feed electricity into the grid and get paid a lot more than the conventional rate.

Feed-in tariff is an incentive structure to encourage the purchase of electricity generated by renewable energy.In July 2008, Israel’s Public Utilities Authority agreed to feed-in tariff of NIS 2.01 for small solar-power arrays – up to 50 kW or four times the average consumer price for entities that got a license in 2008.

By 2014 because the costs of the equipment having been reduced so drastically the feed in tariff in Israel decreased to 47 agorot a KWH