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Different Incentives are Used at Different Levels to Lure Cleantech Business
Of the various ways to lure new cleantech business in, what seems to work best when it comes to incentives - grants, tax credits, feed-in tariffs, rebates, other creative financing?
Olaf Babinet, Senior Manager, Global Expansion Optimization Group, Deloitte Consulting
Editors Picks:
At a national level, Feed-in-Tariffs (FiT) have proven to work in other countries, such as Germany, Spain, and Japan. It boosts the acceptance of solar or wind for end-users who increase their orders to the manufacturers. This FIT policy can be even enhanced with local content rule such as in Ontario although it may be border line compared to WTO principles because it favors local producers. We don’t have a Feed-in-Tariff in the U.S., yet, but individual cities are contemplating it. Last year, Gainesville, FL became the first community to adopt one.

At a State and local level, "cash is king". Tax exemptions is also welcome although in many cases, significant tax exemptions are in place to offset...high taxes! Some countries have also developed low cost financing, which becomes very interesting for solar companies during the difficult period we are facing.
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