This January 2008 policy brief by John Farrell highlights how several European countries, and more recently the Canadian province of Ontario, have adopted a simple yet powerful strategy to expand renewable energy and benefit local economies. It is called a feed-in tariff: a mandated, long-term premium price for renewable energy paid by the local electric utility to energy producers. Evidence shows that a feed-in tariff achieves greater results at a lower cost than do other strategies like tax incentives or renewable electricity standards.

Several European countries, and more recently the Canadian province of Ontario, have adopted a simple yet powerful strategy to expand renewable energy and benefit local economies. It is called a feed-in tariff: a mandated, long-term premium price for renewable energy paid by the local electric utility to energy producers. Evidence shows that a feed-in tariff achieves greater results at a lower cost than do other strategies like tax incentives or renewable electricity standards. 

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This November 2007 report by John Farrell, John Bailey and David Morris examines the impact that Minnesota’s energy policies will have on Minnesota’s greenhouse gas (GHG) reduction goals. Even if fully achieved, the state’s energy policies would simply slow the rate at which GHG emissions continue to grow.

Minnesota has adopted an aggressive state-level greenhouse gas (GHG)reduction goal but Minnesota’s energy policy objectives, even if achieved, would simply slow the rate at which we are moving the the wrong direction. To significantly reduce greenhouse gas emissions Minnesota must reduce energy consumption. 

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