1. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 1
Dr. Kathrin Goldammer
Institute for Advanced Sustainability Studies e.V. (IASS)
The German Energiewende
15 May, 2013 for the DI Annual Conference

2. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 2
Transdisciplinary Panel on Energy Change (TPEC)
The “Plattform Energiewende”, TPEC in short, was launched in March 2012 by
the Institute of Advanced Sustainability Studies in Potsdam, Germany, taking
on the suggestions of the Ethics Commission for a safe energy supply.
www.plattform-energiewende.org

3. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 3
The German Energy Transition in a Nutshell
A long history …
 The concept and the term “Energiewende” was first coined already in 1980
(Öko-Institut)
 Two main elements: exit from nuclear power, entry into renewable energies
 A feed-in tariff system for renewables first introduced in 1991
 Government decisions in 2000-2002: nuclear phase-out extending into the
2020s and introduction of the Renewable Energy Sources Act (EEG)
 New energy concept under the current government in September 2010:
extension of nuclear operating times combined with ambitious goals for
emission reduction, share of renewables and energy efficiency

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The German Energy Transition in a Nutshell
… and the Fukushima shock in March 2011:
 Immediate shutdown of the oldest nuclear power plants and appointment
of an Ethics Commission for a safe energy supply; final report
“Deutschlands Energiewende – Ein Gemeinschaftswerk für die Zukunft” in
May, government decision in June 2011: nuclear exit by 2022
The Energiewende is more than just a nuclear exit: a complete
transformation of the energy system with an extensive legislative package
and ambitious targets for the coming decades:
 Greenhouse gas emissions: 2020 -40%, 2050 -80% (reference year 1990)
 Renewables 2050: 60% of energy consumed, 80% of electricity produced
 Consumption 2050: primary energy -50%, electricity -25 % (ref. 2008)
All three corners of the energy triangle need to be taken into account:
security of supply, competitiveness and environmental sustainability

5. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 5
German Energy System Facts, Part I: 600 TWh Production
Source: Arbeitsgemeinschaft Energiebilanzen
Annual gross electricity production, including electricity exports, shows regulation
changes, the course of the economy, the weather – and the Energiewende.
Renewables Mineral Oil Hard Coal Lignite Gas Nuclear Others

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German Energy System Facts, Part II: Already 20+% RES
Renewable energy production has increased steadily and accounts for 22%-
share of electricity consumption in 2012; the goal for 2020 being at least 35%.
The Federal Ministry of the Economy names the investment sum in renewables
as 23 billion Euros in 2011 (“Monitoringbericht Energie der Zukunft 2012”).
Source: Federal Ministry of the Environment BMU
2020 target is 35%

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German Energy System Facts, Part III: Technology Faves
Natural Gas
Hard Coal
Nuclear
Lignite
Others Solar PV
Hydro
Biomass
Wind, mainly
onshore
Renewable
Energies in Total

8. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 8
German Energy System Facts, Part IV: Overcapacity
When it comes to security of supply, Germany is traditionally well equipped and
highly stable; the installed capacity – especially from conventional power
generation - is still massive. The policy question here is: what are their
incentives to stay connected to the grid and ready to produce?
Renewables All fossils incl. large hydro Nuclear
Source: BNetzA

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German Energy System Facts, Part V: Price Effects
German wholesale electricity market prices are are steadily decreasing due to low
carbon prices, decreasing global coal prices and greater renewable shares with
zero marginal costs.
Base calender year 2014, below, now trades at the historically low prices of
38 EUR/MWh. How will that refinance investments in new and flexible generation?
Source: EEX.de

10. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 10
German Energy System Facts, Part VI: Regional Differences
Nuclear
Fossils
Renewables
Source: BNetzA
The installed capacity in GW differs
greatly among the German states;
renewables differ in technology.
The renewables energies surcharge
“EEG-Umlage” is a nationwide
addition to the energy bill for every
electricity consumer with
exemptions for parts of the
industry.
Grid charges differ regionally.
Accordingly, net benefits and costs
are not equally allocated; an
inequality debate is thriving.

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Policy issues discussed alongside the Energiewende
Numerous policy and regulation issues are discussed in Germany right now, the
most prominent being:
 Production incentives and market design: Renewables at zero marginal
costs and a cost-based merit-order market. How do they go together?
 Security of supply incentives and capacity markets: Conventional power
plant run-times decrease. How do they stay connected?
 Participation and social equity issues: What’s the Energiewende balance?
How can green-green conflicts (e.g. grid extension due to renewable
installation) and collective efforts be harmonized? This also goes for energy
efficiency incentives: not only a burden but great economic potential.
 EU conflicts: Is Germany offering illegal subsidies for renewables and the
industry? New policy designs need to align with EU regulation.

12. Institute for Advanced Sustainability Studies e.V. DI Annual Conference 15 May 2013 12
The Energiewende Potential – Nationally and Globally
 Sustainability and climate
protection with reduced
dependancy on energy imports
 Decoupling of emissions and
growth – if one of the leading
economies in the world
succeeds in this, others are
more likely to follow
 A leading role in the growing
global market of energy and
environmental technologies
 Job creation at home and
massive business opportunities
for the industry
… and after all, the transformation to the most advanced energy infrastructure
in the world. The Future made in Germany?

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Many thanks for your attention!
www.iass-potsdam.de
Dr. Kathrin Goldammer, head of „Plattform Energiewende“ at the IASS
kathrin.goldammer@iass-potsdam.de