In praise of ... feed-in tariffs

In praise of ... feed-in tariffs

The drawback with feed-in tariffs is obvious: it is that name, as eye-glazingly dull as the small-print on a bank statement.

Spare a thought, however, for the Germans, whose equivalent not only has an even more unwieldy name (Erneuerbare-Energien-Gesetz, anyone?) but who have turned it into a major success.

Get past the behemoth of a moniker and the idea is simple: those generating electricity from renewable sources are paid generously for extra power they feed to the grid. Electricity companies have to buy this energy and share the higher cost among all their customers. It is supposed to kick-start investment in greener energy, and it works: Germany's adoption of the programme has helped it develop 200 times the solar power capacity of Britain and 10 times the wind energy, despite Britain being a much windier place.

In the UK, both the Conservatives and the Liberal Democrats favour the introduction of a similar scheme, but the government prefers to tinker with its Renewables Obligations. These are far dearer and much less effective, mainly helping big energy companies dabble in the easiest, cheapest renewable energy sources.

Britain falls ever further behind on its targets for taking up renewables. Last week, two government ministers promised to consider introducing a tariff. Yet consultation is not the same as action; green campaigners will have to ratchet up the pressure for a feed-in tariff. They have a strong case; but it would not hurt to come up with a catchier name.