Renewable energy in Germany

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Germany renewable electricity generation percentageBiogas fermenter (Schleswig-Holstein)Wind power in Germany
Geothermal power plantLevelized cost of electricity in 2013Renewable energy sources
Renewable Energy in Germany (from top left to bottom right):
 · Renewables in the German electricity sector
 · Biogas fermenter in Hornstet
 · Wind park in Bernburg
 · Geothermal power plant in Neustadt-Glewe
 · German Levelized cost of electricity in 2013
 · German wind and solar in Rhineland-Palatinate

Germany's renewable energy sector is among the most innovative and successful worldwide. Net-generation from renewable energy sources in the German electricity sector has increased from 6.3% in 2000 to about 30% in 2014.[1][2] For the first time ever, wind, biogas, and solar combined accounted for a larger portion of net electricity production than brown coal.[3] While peak-generation from combined wind and solar reached a new all-time high of 74% in April 2014,[4] wind power saw its best day ever on December 12, 2014, generating 562 GWh.[5] Germany has been called "the world's first major renewable energy economy".[6][7]

More than 23,000 wind turbines and 1.4 million solar PV systems are distributed all over the country's area of 357,000 square kilometers.[8][9] As of 2011, Germany's federal government is working on a new plan for increasing renewable energy commercialization,[10] with a particular focus on offshore wind farms.[11] A major challenge is the development of sufficient network capacities for transmitting the power generated in the North Sea to the large industrial consumers in southern parts of the country.[12]

According to official figures, some 370,000 people were employed in the renewable energy sector in 2010, especially in small and medium-sized companies. This is an increase of around 8% compared to 2009 (around 339,500 jobs), and well over twice the number of jobs in 2004 (160,500). About two-thirds of these jobs are attributed to the Renewable Energy Sources Act[13][14]

Germany's energy transition, the Energiewende, designates a significant change in energy policy from 2011. The term encompasses a reorientation of policy from demand to supply and a shift from centralized to distributed generation (for example, producing heat and power in very small cogeneration units), which should replace overproduction and avoidable energy consumption with energy-saving measures and increased efficiency.

Targets

Electricity by source in 2014
Nuclear Brown Coal Hard Coal Natural Gas Wind Solar Biogas HydroCircle frame.svg
  •   Nuclear: 91.8 TWh (17.2%)
  •   Brown Coal: 140.7 TWh (26.4%)
  •   Hard Coal: 110.1 TWh (20.7%)
  •   Natural Gas: 33.9 TWh (6.4%)
  •   Wind: 51.4 TWh (9.7%)
  •   Solar: 32.8 TWh (6.2%)
  •   Biomass: 53 TWh (10.0%)
  •   Hydro: 18.5 TWh (3.5%)
Net generated electricity in 2014[15]

Since the passage of the Directive on Electricity Production from Renewable Energy Sources in 1997, Germany and the other states of the European Union have been working towards a target of 12% renewable electricity by 2010. Germany passed this target early in 2007, when the renewable energy share in electricity consumption in Germany reached 14%.[16] In September 2010, the German government announced the following new ambitious energy targets:[17] After the 2013 elections, the new CDU/CSU and SPD coalition government continued the energy transition, with only minor modifications of its targets in the coalition agreement.[18]

  • Renewable national electricity—40 to 45% by 2025, 55 to 60% by 2035, and 80% by 2050[19]
  • Renewable national energy—18% by 2020, 30% by 2030, and 60% by 2050
  • Energy efficiency:
    • Energy consumption—reduction of 20% from 2008 level by 2020, and 50% less by 2050
    • Electricity consumption—reduction of 10% from 2008 level by 2020, and 25% less by 2050

The German Government reported, in 2011, renewable energy (mainly wind turbines and biomass plants) generated more than 123 terawatt-hours (TWh) of electricity, providing nearly 20% of the 603 TWh of electricity supplied.[20]

In 2012, all renewable energy accounted for 21.9% of electricity, with wind turbines and photovoltaic providing 11.9% of the total.[21]

Chancellor Angela Merkel, along with a vast majority of her compatriots, believes, "As the first big industrialized nation, we can achieve such a transformation toward efficient and renewable energies, with all the opportunities that brings for exports, developing new technologies and jobs".[22]

As of 2014, renewable sources account for 30.8% of the net electricity production (first half-year). Compared to the same period of 2013, energy production from wind, solar and biomass increased by 9.9 TWh, while it decreased from fossil fuels by 14.8 TWh, and remained almost unchanged for nuclear and hydro power.[1]

Primary energy consumption

Germany's primary energy consumption of 1,449 petajoules or 403 terawatt-hours refers to the total energy used by the nation. The final energy consumption, split by the sectors, and with their relative share, are:[23]:4

  • Electricity sector, with a gross-consumption of 49% (161 TWh)
  • Heating sector, with a final consumption of 40% (131 TWh)
  • Transportation sector, consuming 11% (35 TWh)

As of the end of 2014, renewable energy sources, such as biomass, biogas, biofuels, hydro, wind and solar, accounted for 11.1% of the country's primary energy consumption, a more than doubling compared to 2004, when renewables only contributed 4.5%. Renewable contribute most to the electricity sector with 27.8% (gross-generation), followed by the heat and transportation sector with 9.9% and 5.4%, respectively.[23]:5

Although the terms "energy" and "electricity" are often used interchangeably, they should not be confused with one another, as electricity is only one form of energy and does not account for the energy consumed by combustion engines and heat boilers, used in transportation by vehicles and for the heating of buildings.

Source: Federal Ministry for Economic Affairs and Energy, 1990–2014, as per February 2015[23]:5

Sources

Wind power

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Main article: Wind power in Germany
10,000
20,000
30,000
40,000
1990
1998
2006
2012
Wind power: installed capacity in MW (1990–2014)[24]

In 2013, wind power generated a total of 53.4 TWh of electricity and more than 3.2 GW of new capacity was added to the grid.[25] In 2011, the country's installed capacity of wind power reached 29,075 megawatts (MW), about 8% of the overall capacity.[26] According to EWEA, in a normal wind year, installed wind capacity in Germany will meet 10.6% at end 2011 and 9.3% at end 2010 of the German electricity needs.[27][28]

More than 21,607 wind turbines are located in the German federal area and the country has plans to build more.[29][30] As of 2011, Germany's federal government is working on a new plan for increasing renewable energy commercialization,[10] with a particular focus on offshore wind farms.[11] A major challenge is the development of sufficient network capacities for transmitting the power generated in the North Sea to the large industrial consumers in southern Germany.[12]

Biomass

Biomass used for the production of biogas and biofuels are some of Germany's most important sources of renewable energy. In 2010, biomass accounted for 30% of renewable electricity generation and for 70% of all renewable energy (mostly wood).[31]

Germany has committed to blending 6.25% biofuels in petroleum by 2014 with the Biofuels Quota Act.[32][33]

Photovoltaic solar power

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Main articles: Solar power in Germany and Solar power in the European Union
10,000
20,000
30,000
40,000
2000
2004
2008
2012
Solar power: installed capacity in MW (2000–2014)[34]

Solar photovoltaic (PV) technology generates electricity from sunlight, and it can be used in grid-connected and off-grid applications. They've first become mass-produced in the year 2000, when German environmentalists and Eurosolar have succeeded in obtaining the government support for the 100,000 roofs program.[35] In July 2012, a cumulative installed total solar PV power of 29.7 GW was in place.[36] Solar PV provided 18 TW·h in 2011, 3% of the total electricity demand. As solar power installations rise quickly, in first half of 2012, about 5.3% of the total electricity demand was covered by solar power.[37] On Saturday May 25, 2012, solar power broke a new record high, feeding 22 GW into the power grid, or as much as 20 nuclear power stations. This jump above the 20 GW level was due to increased capacity and excellent weather conditions countrywide, and made up for half of the nation's electricity demand at midday.[38] Germany was also the biggest expanding market for solar PV 2012, with 7.6 GW of newly connected systems.[39] Some market analysts expect the solar electricity share could reach 25% by 2050.[40] Price of PV systems has decreased more than 50% in 5 years since 2006.[41]

Hydroelectricity

The total installed hydroelectic capacity in Germany at the end of 2006 was 4.7 GW. Hydropower meets 3.5% of the electricity demand. Latest estimates show, in Germany in 2007, about 9,400 people were employed in the hydropower sector which generated a total turnover of €1.23 billion.[42]

Geothermal power

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Main article: Geothermal power in Germany

Geothermal power in Germany is expected to grow, mainly because of a law that benefits the production of geothermal electricity and guarantees a feed-in tariff. But after a renewable energy law that introduced a tariff scheme of €0.15 [US$0.23] per kilowatt-hour (kWh) for electricity produced from geothermal sources came into effect that year, a construction boom was sparked and the new power plants are now starting to come online.

Industry

Annual yield of domestic renewable electricity by source.

Germany's renewable energy sector is among the most innovative and successful worldwide. Nordex, REpower Systems, Fuhrländer, and Enercon are wind-power companies based in Germany. SolarWorld, Q-Cells, and Conergy are solar-power companies based in Germany. These companies dominate the world market. Every third solar panel and every second wind rotor is made in Germany, and German turbines and generators used in hydro energy generation are among the most popular worldwide.[43]

Nearly 800,000 people work in the German environment technology sector; an estimated 214,000 people work with renewables in Germany, up from 157,000 in 2004, an increase of 36%.[43]

Siemens chief executive Peter Löscher believes Germany’s target of generating 35% of its energy from renewables by 2020 is achievable – and, most probably, profitable for Europe’s largest engineering company. Its “environmental solutions” portfolio, which is firmly focused on renewables, is “already generating more than €27 billion a year, 35 per cent of Siemens’ total revenue, and the plan is to grow this to €40 billion by 2015”. Ending its involvement in nuclear industry will boost the credibility of Siemens as a purveyor of “green technology”.[44]

Germany's main competitors in solar electricity are Japan, the US, and China. In the wind industry, it is Denmark, Spain, and the US.

Government policy

The renewable energy sector benefited when the Alliance '90/The Greens party joined the federal government between 1998 and 2005. Support for renewable energy continued under all following governments, regardless of composition, including the current CDU/CSU and SPD coalition government starting in 2013.[18] The renewable energy sector was aided especially by the Renewable Energy Sources Act that promotes renewable energy mainly by stipulating feed-in tariffs and recently also market premiums that grid operators must pay for renewable energy fed into the power grid. People who produce renewable energy can sell their 'product' at fixed prices for a period of 20 or 15 years. This has created a surge in the production of renewable energy.[45] In 2012, Siemens estimated the total cost of renewable energy would come to at least €1.4 trillion (US$1.8 trillion) by 2030.[46]

For the 2011–2014 period, the federal government set aside 3.5 billion euros for scientific research in the country.[47] Additionally, in 2001 a law was passed requiring the closing of all nuclear power plants within a period of 32 years. The shutdown time was extended to 2040 by a new government in 2010. After the Fukushima incident, the law was abrogated and the end of nuclear energy was set to 2022.[48] After the 2013 federal elections, the new CDU/CSU and SPD coalition in important areas continued the Energiewende of the previous government, but also agreed on a major revision of the EEG.[19]

The German energy policy is framed within the European Union, and the March 2007 European Council in Brussels approved a mandatory energy plan that requires a 20% reduction of carbon dioxide emissions before the year 2020 and the consumption of renewable energies to be 20% of total EU consumption (compared to 7% in 2006).[49] The accord indirectly acknowledged the role of nuclear energy — which is not commonly regarded as renewable, but emissions-free — in the reduction of the emission of greenhouse gases, allowing each member state to decide whether or not to use nuclear-generated electricity.[50]

Also, a compromise was reached to achieve a minimum quota of 10% biofuels in the total consumption of gasoline and diesel in transport in 2020.

Energy transition

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Main articles: Energy transition and Energy transition in Germany

Energiewende ("energy transition") designates a significant change in energy policy: The term encompasses a reorientation of policy from demand to supply and a shift from centralized to distributed generation (for example, producing heat and power in very small cogeneration units), which should replace overproduction and avoidable energy consumption with energy-saving measures and increased efficiency.

The key policy document outlining the Energiewende was published by the German government in September 2010, some six months before the Fukushima nuclear accident.[51] Legislative support was passed in 2011. Important aspects include:

  • greenhouse gas reductions: 80–95% reduction by 2050
  • renewable energy targets: 60% share by 2050 (renewables broadly defined as hydro, solar and wind power)
  • energy efficiency: electricity efficiency up by 50% by 2050
  • an associated research and development drive

The policy has been embraced by the German federal government and has resulted in a huge expansion of renewables, particularly wind power. Germany's share of renewables has increased from around 5% in 1999 to 22.9% in 2012, reaching close to the OECD average of 18% usage of renewables.[52] Producers have been guaranteed a fixed feed-in tariff for 20 years, guaranteeing a fixed income. Energy co-operatives have been created, and efforts were made to decentralize control and profits. The large energy companies have a disproportionately small share of the renewables market. Nuclear power plants were closed, and the existing nine plants will close earlier than planned, in 2022.

In May 2013, the International Energy Agency commended Germany for its commitment to developing a comprehensive energy transition strategy, ambitious renewable energy goals, and plans to increase efficient energy use and supported this approach. Nevertheless, the scale of Germany’s energy policy ambitions, coupled with the large size and energy intensity of its economy, and its central location in Europe’s energy system, mean further policy measures must be developed if the country’s ambitious energy transition is to maintain a workable balance between sustainability, affordability, and competitiveness.[53]

Subsidies aimed at stimulating the growth of renewables have driven up consumer energy prices by 12.5% in 2013.[54] To date, German consumers have absorbed the costs of the Energiewende, but the IEA says the debate over the social and economic impacts of the new approach has become more prominent as the share of renewable energy has continued to grow alongside rising electricity prices. The transition to a low-carbon energy sector requires public acceptance, and, therefore, retail electricity prices must remain at an affordable level. Presently, German electricity prices are among the highest in Europe, despite relatively low wholesale prices.[53] At the same time, the IEA said the new energy policy is based on long-term investment decisions, and a strong policy consensus in Germany in favour of large-scale renewable energy commercialisation exists.[53]

Ownership

In Germany, almost half of renewable power capacity was citizen-owned as of 2013, and about 20 million Germans lived in so-called 100% renewable energy regions.[55]

Jobs

Estimated German jobs in renewable energy in 2012-2013 were about 370,000.[56]

Statistics

Increases in installed renewable electric power capacity and generation in recent years is shown in the charts and table below:

50,000
100,000
150,000
200,000
1990
1994
1998
2002
2006
2010
2014
Electricity generation from renewables since 1990 (in GWh, excluding geothermal)[23]
     Hydro        Waste incineration        Onshore Wind        Offshore Wind        Solar PV        Biomass
Year Installed
capacity
[MW]		 Electric gross generation in gigawatt-hours [GWh] by renewable sources since 1990 Share of gross
electricity
consumption
[%]
Hydro Wind Biomass[57] Biogenic waste
incineration[58]		 Photovoltaics Geothermal Total
generation
onshore offshore
1990 4,718 17,426 71 – 222 1,213 1 – 18,933 3.4
1991 4,826 14,891 100 – 260 1,211 1 – 16,463 3.1
1992 4,918 17,397 275 – 296 1,262 4 – 19,234 3.6
1993 5,190 17,878 600 – 432 1,203 3 – 20,116 3.8
1994 5,548 19,930 909 – 569 1,306 7 – 22,721 4.3
1995 6,223 21,780 1,500 – 662 1,348 7 – 25,297 4.7
1996 6,694 21,957 2,032 – 755 1,343 12 – 26,099 4.8
1997 7,255 17,357 2,966 – 876 1,397 18 – 22,614 4.1
1998 8,301 17,216 4,489 – 1,638 1,618 35 – 24,996 4.5
1999 10,155 19,647 5,528 – 1,845 1,740 30 – 28,790 5.2
2000 12,330 21,732 9,513 – 2,887 1,844 60 – 36,036 6.2
2001 15,157 22,733 10,509 – 3,355 1,859 76 – 38,532 6.6
2002 18,824 23,124 15,786 – 4,099 1,949 162 – 45,120 7.7
2003 22,311 17,722 18,713 – 6,603 2,238 313 – 45,589 7.6
2004 25,533 20,095 25,509 – 8,218 2,253 557 0.2 56,632 9.3
2005 29,167 19,638 27,229 – 11,102 3,252 1,282 0.2 62,503 10.2
2006 32,943 20,008 30,710 – 14,793 3,907 2,220 0.4 71,638 11.6
2007 36,215 21,170 39,713 – 19,832 4,531 3,075 0.4 88,321 14.2
2008 40,369 20,443 40,574 – 23,121 4,671 4,420 18 93,247 15.1
2009 47,602 19,031 38,610 38 26,255 4,323 6,583 19 94,859 16.3
2010 57,148 20,953 37,619 174 29,561 4,781 11,729 28 104,810 17.0
2011 67,376 17,671 48,315 568 32,848 4,755 19,599 19 123,775 20.4
2012 77,570 22,091 49,948 722 39,682 4,951 26,380 25 143,799 23.7
2013 84,988 22,998 50,803 905 41,156 5,415 31,010 80 152,367 25.4
2014 93,102 20,500 54,660 1,310 43,000 6,100 34,930 110 160,610 27.8
2015 to be announced in January 2016
Source: Federal Ministry for Economic Affairs and Energy (German: Bundesministerium für Energie und Wirtschaft)[23]:6, 7
Version: last published PDF data sheet as per February, 2015[59]
Note: column "Biomass" contains all generated electricity from biomass, biofuels and biogas, excluding generation from biogenic waste incineration
5,000
10,000
15,000
20,000
25,000
30,000
1990
1994
1998
2002
2006
2010
2014
Generation from Hydro since 1990 (in GWh)
10,000
20,000
30,000
40,000
50,000
60,000
1990
1994
1998
2002
2006
2010
2014
Generation from onshore Wind since 1990 (in GWh)
10,000
20,000
30,000
40,000
1990
1994
1998
2002
2006
2010
2014
Generation from Solar PV since 1990 (in GWh)
10,000
20,000
30,000
40,000
50,000
1990
1994
1998
2002
2006
2010
2014
Generation from Biomass, Biofuel, Biogas since 1990 (in GWh)
(without biogenic waste incineration)

See also

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3

References

  1. ↑ 1.0 1.1 Lua error in package.lua at line 80: module 'strict' not found.
  2. ↑ Winter, Caroline: "Germany Reaches New Levels of Greendom, Gets 31 Percent of Its Electricity From Renewables", in Business Week, 14 August 2014
  3. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  4. ↑ thinkprogress.org, Sets New Record, Generating 74 Percent Of Power Needs From Renewable Energy, 13 May 2014
  5. ↑ RenewEconomy.com.au, Craig Morris, New wind power generation record in Germany, 16 December 2014
  6. ↑ Germany: The World's First Major Renewable Energy Economy
  7. ↑ Fraunhofer ISE, Electricity production from solar and wind in Germany – New record in wind power production, p.2, 15 December 2014
  8. ↑ http://www.wind-energie.de, Number of Wind Turbines in Germany, 2012
  9. ↑ Fraunhofer ISE Recent Facts about Photovoltaics in Germany, p.5, 16 October 2014
  10. ↑ 10.0 10.1 Lua error in package.lua at line 80: module 'strict' not found.
  11. ↑ 11.0 11.1 Lua error in package.lua at line 80: module 'strict' not found.
  12. ↑ 12.0 12.1 The Wall Street Journal Online, 24 April 2012
  13. ↑ Renewable Energy Sources in Figures - National and International Development
  14. ↑ Germany Leads Way on Renewables, Sets 45% Target by 2030
  15. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  16. ↑ Share in electricity supply has gone up to 14 per cent
  17. ↑ The Federal Government's energy concept of 2010 and the transformation of the energy system of 2011 p. 5
  18. ↑ 18.0 18.1 German Energy Blog Overview CDU/CSU and SPD Present Coalition Agreement – 55% to 60% Renewables by 2035 and More
  19. ↑ 19.0 19.1 German Energy Blog Overview Renewable Energy Sources Act
  20. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  21. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  22. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  23. ↑ 23.0 23.1 23.2 23.3 23.4 Lua error in package.lua at line 80: module 'strict' not found.
  24. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  25. ↑ Renewables 2014 Global Status Report, page 57
  26. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  27. ↑ Wind in power 2011 European statistics EWEA February 2012, pages 4 and 11
  28. ↑ Wind in power 2010 European statistics EWEA February 2011, page 11
  29. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  30. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  31. ↑ General Information - Biomass
  32. ↑ Bundesministeriums der Justiz in Zusammenarbeites mit der juris. August 9, 2009. Verordnung über Anforderungen an eine nachhaltige Herstellung von Biokraftstoffen (Biokraftstoff-Nachhaltigkeitsverordnung - Biokraft-NachV).
  33. ↑ BioenergyWiki: Policy implementation in Germany
  34. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  35. ↑ Solar Power for the World: What You Wanted to Know about PhotovoltaicsTaylor & Francis Group
  36. ↑ Entwicklung des deutschen PV-Marktes Jan-Jul 2012 (German)
  37. ↑ Erneuerbare Energien liefern mehr als ein Viertel des Stroms
  38. ↑ Germany sets new solar power record, institute says
  39. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  40. ↑ Another Sunny Year for Solar Power
  41. ↑ BSW-Solar, Statistische Zahlen der deutschen Solarstrombranche (Photovoltaik), Oct 2011
  42. ↑ General information - Hydropower
  43. ↑ 43.0 43.1 Green energy boom in Germany
  44. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  45. ↑ Renewable Energy Sources in Germany - key information 2009 at a glance
  46. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  47. ↑ German Energy Blog Federal Cabinet Adopts 3.5 Billion Energy Research Programme
  48. ↑ German Energy Blog Clear Bundestag Majority for 2022 Nuclear Phase-Out and Coalition Party Approval for Energy Package
  49. ↑ EU2007.de - Historical agreement on climate protection
  50. ↑ EU2007.de - Historical agreement on climate protection
  51. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  52. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  53. ↑ 53.0 53.1 53.2 Lua error in package.lua at line 80: module 'strict' not found.
  54. ↑ http://www.world-nuclear-news.org/NP-German-law-limits-renewable-growth-0904147.html
  55. ↑ Renewables 2014 Global Status Report, page 27
  56. ↑ Renewables 2014 Global Status Report, page 49
  57. ↑ Includes all sorts of biomass, biofuels and biogas, e.g. methane from sewage and landfills, except the electricity generated from waste incineration of biomass. (See separate column "Bio waste incineration)."
  58. ↑ Bionic share of energy generation from waste incineration
  59. ↑ (PDF-data sheet) Federal Ministry for Economic Affairs and Energy, Zeitreihen zur Entwicklung der erneuerbaren Energien in Deutschland (Historic data about the development of renewable energies in Germany), as per February, 2015

External links

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