We adopt a mechanism design approach for capacity payments based on a declaration by the firm of their reliability.
It becomes clear that so far there has been no satisfactory problem diagnosis, nor has the suitability of the presented proposals for capacity payments been sufficiently examined.
Further scientific analyses of the need for capacity payments, particularly also in the German context - as recently set in motion by the Federal Economics Ministry's Green Paper - are crucial in order to arrive at policy recommendations that will be sustainable in the long term.
The Department of Energy and Climate Change (Decc) has declined to comment ahead of a formal announcement today, but has previously argued these subsidies would ensure security of supply by providing a payment for reliable sources of capacity to ensure they delivered energy when needed.
A subsidy called the capacity mechanism - payment for guaranteeing supply - was meant to entice gas plants.
FIT is a subsidy for small-scale renewable electricity, whereby a generator of renewable electricity of up to 5MW capacity is guaranteed payment for every unit of energy generated and every unit sold to the grid.
Governments need adequate monitoring capacity when implementing payment for ecosystem services programs, and developed countries willing to finance these kinds of policies in the context of a global agreement will ask that the efforts made to maintain forests be verifiable.
Equity in health care entails payment for health services according to the capacity to pay and the receipt of benefits according to need.
Mixed results for capacity development.
In the current situation where ART is provided for free, most patients were able to pay completely for the expenditures associated with accessing treatment; however, payment capacity was limited for some patients even within this context.
This requires that payment for health care should be according to the capacity to pay while utilisation is according to need [ 3].
