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GRU's feed-in tariff: a quick, closer look

As many of you solar geeks out there probably know, Gainesville Regional Utilities (GRU) recently launched a feed-in tariff, or FIT -- the first of its kind in the country. Generally speaking, FITs create two main benefits for solar buyers. First, they ensure that residents and businesses who go solar get paid a premium for all the electricity output from their solar PV system. This simple premise -- that each and every kWh generated will be purchased -- is linked to the second benefit: that of clarity. Unlike time of use schedules, or net excess generation purchasing at avoided-cost rates, the concept of a feed-in tariff is readily understood. For these reasons, FITs have been the policy tool of choice in Germany, for instance, a country that now leads the world in solar adoption rates.

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