The basic concept of feed-in tariff(FiT) is that the Distribution Licensee (TNB/SESB) pays the Feed-in Approval Holder a premium tariff for clean energy that is generated. This allows owners to sell their clean energy to the distribution licensee for a fixed number of years; the duration is dictated by the type of renewable energy used for power generation. The incentive provides a fixed payment from the electricity supplier for every kilowatt hour (kWh) of electricity generated and a guaranteed minimum payment for every kWh exported to the grid.