What are the most effective incentives offered by utility companies for using renewable energy sources?

Net metering is what many countries have, where your purchased electricity from grid is net with the electricity you injected in in grid. There is no direct net used as the prices for taking power and injecting power is different hence formula look like below: Power purchased * price - power injected * price (which you will receive).

This allows consumers who generate their own electricity from renewable sources to sell the surplus to the grid and offset their electricity bills. Net metering was introduced in Spain in 2015 and applies to installations with a capacity of up to 100 kW in a simplified way.

In Spain, this is a fixed price that the electricity company pays to producers of electricity from renewable sources for each kWh injected into the grid. Feed-in tariffs were established in 2007 and have been reviewed several times to adjust to market conditions and reduce costs for consumers. The current scheme, approved by the European Commission in 2017, applies to existing installations that were registered before 2014 and guarantees a reasonable rate of return for investors.

For residential roof top solar installation many government provides subsidy. These subsidy have rate in per KW and also have a cap for big installation. Such incentives are provided to reduce the upfront cost for user hence encouraging them to utilise their roof for power production.

These are direct payments or discounts offered by the government or utility companies to consumers who install renewable energy systems or improve their energy efficiency. Rebates and grants vary depending on the type, size and location of the project, and are often combined with other incentives such as tax credits or loans. In Spain, some examples are the PAREER-CRECE program for building renovation, the MOVES program for electric vehicles, and the IDAE program for renewable energy projects.

It's a combination of many factors, two of most effective are net metering and subsidy that is provided since it effectively means that you get to put your own plant at subsidised rates and energy generated is netted with energy demanded and you got to pay only for the difference. Second best is gross metering or feed in tariff where generated is priced somewhat less than bought.

In my prespective, lots of benefits given by power regulatory authority for using renewables energy as follows: 1) In terms of tariff reduction. 2) Duty free import of systems of renewables integration. 3) Govt provide them with high tension lines to connect them with the national grid 4)Tax exemption for predefined tenures.

In addition to these incentives, Spain has also adopted other measures to support the development of renewable energy sources, such as setting ambitious targets for 2030 and 2050, simplifying administrative procedures, facilitating access to financing, strengthening grid integration, and encouraging public participation and awareness.