Vermont’s Feed-In Tariff (FIT) by tania

Congratulations, Vermont property owners! You live in a state with a feed-in tariff (FIT) program!

How does Vermont’s FIT work?

In an effort to encourage the rapid development of renewable energy technologies, Vermont has enacted a FIT that will apply to renewable energy systems that are up to 2.2 megawatts in capacity. The FIT allows for power purchase contracts of up to 25 years in duration for solar energy projects, and sets a statewide program cap of 50 megawatts, after which new generators will no longer be offered the incentives. While the law specifies a standard offer rate of $0.30 per kilowatt-hour of electricity produced by solar systems, it has also directed the Vermont Public Service Board (PSB) to conduct an economic analysis either to approve or adjust the rates based on criteria set for in the law. Since it’s expected that the tariffs will decrease as the technology progresses, the tariffs will be reviewed and reset every two years.

That sounds great! How is Vermont able to do this?

The FIT was established thanks to the Vermont Energy Act of 2009 (a.k.a. the H. 446 bill), which was enacted in May 2009.

Is the FIT available now?

Details of the FIT are still being mapped out, and the final rules will be issued by January 15, 2010.

Do you have more info on the status of this feed-in tariff program? Let us know and we will update this page with your tips.