05.07.2009

Type of economic incentives to encourage use of alternative fuels for electricity generation: (1) Feed-in tariffs – setting high tariffs for producers of electricity that use renewable fuels. This is the most popular methods which has been adapted in Israel as well. (2) Tradeable green certificate, quota obligation – setting a quota for the use of renewable fuel sources to be used by electricity producers and enabling commerce of green certificates; (3) Tender for the generation of electricity – determining a defined goal for the generation of electricity from renewable sources of energy. Within the framework of the tender, the competitor that offers the lowest generation tariff over the long term will receive special incentives such as a special electricity tariff. (4) Fiscal incentives – offering tax benefits or subsidies to support use of renewable energy. This method is vastly utilized in the US

Gina Cohen
Natural Gas Expert
Phone:
972-54-4203480
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