The incentive system for renewable energy sources is a system that is regulated by legal and bylaws, and the Croatian energy market operator d.o.o. is the responsible party for managing the incentive system for renewable energy sources in the Republic of Croatia. The purpose of the incentive system is to incentivize the production of electricity from renewable energy sources and high-efficiency cogeneration with the aim of increasing the share of electricity from renewable energy sources. Over the years, the incentive system has changed, and the models applied to incentivize renewable energy sources have also changed accordingly. In the Republic of Croatia, the model of guaranteed prices has been applied since 2007. Due to the unsustainability and impossibility of stimulating market competition, this model is being used less often, and the model of stimulating market premiums was introduced. The market premium model is a relatively new model in the system of stimulating production from renewable energy sources in the Republic of Croatia, the goal of which is to increase the share of renewable energy sources and enable producers to easily adapt to the market conditions. According to this model, the premium paid to the producer is variable and represents the difference between the reference value and the electricity market price The premium model distinguishes between one-sided and two-sided premiums. One-sided premium is a market premium model according to which the difference between the reference value and the reference market price is paid to the privileged producer, if the reference market price is lower than the reference value defined by the Market Premium Agreement. When the market premium is negative, i.e. when the reference market price is higher than the reference value, there is no payment for that month. The two-sided premium is a market premium model in which the same thing happens as in the one-sided premium, with the exception that when the reference market price is higher than the reference value, the privileged producer returns the difference to the incentive system. In this paper, market premium models are presented through an analysis by technology, more specifically on the example of a solar power plant and a biogas plant, and their impact on the incentive system and the privileged producer. Also, the market premium model has been applied for a long time in some member states of the European Union, so the paper will give a brief overview of how the market premium model works in selected member countries.