Feed-in tariff laws also provide financial certainty, are more cost effective and less bureaucratic than other support schemes such as investment or production tax credits, quota based renewable portfolio standards (RPS), and auction mechanisms.
For example, regulatory oversight of feed-in tariff programs is essential, whether the price is based on a predetermined number (and with some maximum capacity), an auction/bidding process, or avoided cost.
How external (environmental and health) costs are factored into program evaluation is partly dependent on the enabling legislation (or executive order).
If the law establishes Renewable Portfolio Standards, the energy regulator will need to oversee the system and evaluate its effectiveness in meeting RE objectives.
In addition, the sector regulator is in a position to give advice to the government regarding the full implications of focusing on climate change or energy security.
To speed up investment to support Renewable energy systems, feed-in tariffs are put in to place with most offering a long term contract for twenty years.
Conventional hydroelectric dams in most countries are highly regulated, with environmental reviews before construction and operational limits afterwards.
... A number of federal laws, regulations, and Executive Orders apply to geothermal energy development activities.