Renewable energy in Germany
Encyclopedia
The share of electricity produced from renewable energy in Germany has increased from 6.3 percent of the national total in 2000 to over 20 percent in the first half of 2011. In 2010, investments totaling 26 billion euros were made in Germany’s renewable energies sector. According to official figures, some 370,000 people in Germany were employed in the renewable energy sector in 2010, especially in small and medium sized companies. This is an increase of around 8 percent 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
German Renewable Energy Act
The German Renewable Energy Act was designed to encourage cost reductions based on improved energy efficiency from economies of scale over time...

 Germany is the world's first major renewable energy economy. In 2010 nearly 17% (more than 100 TWH) of Germany's electricity supply (603 TWH) was produced from renewable energy
Renewable energy
Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...

 sources, more than the 2010 contribution of gas fired power plants.

Renewable electricity in 2010 was 101.7 TWh including wind power
Wind power in Germany
In 2010, the installed capacity of wind power in Germany was 27.2 GW. Wind power currently produces about seven percent of Germany’s total electrical power. More than 21,607 wind turbines are located in the German federal area and the country has plans to build more wind turbines...

 36.5 TWh, biomass
Biomass
Biomass, as a renewable energy source, is biological material from living, or recently living organisms. As an energy source, biomass can either be used directly, or converted into other energy products such as biofuel....

 and biowaste
Biowaste
Biowaste is material that is capable of self-replication and is harmful or potentially harmful to other living organisms....

 33.5 TWh, hydropower 19.7 TWh and photovoltage solar power
Solar power in Germany
Germany is one of the world's top photovoltaics installers, with a solar PV capacity as of May 2011 of more than 18,000 megawatts .The German solar PV industry installed 7,400 MW from nearly one-quarter million individual systems in 2010, and solar PV provided 12 TWh of electricity in 2010, about...

 12.0 TWh.

Renewable energy targets

Since the passage of the Directive on Electricity Production from Renewable Energy Sources
Directive on Electricity Production from Renewable Energy Sources
The Directive on Electricity Production from Renewable Energy Sources is a European Union directive for promoting renewable energy use in electricity generation. It is officially named 2001/77/EC and popularly known as the RES Directive....

 in 1997, Germany and the other states of the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

 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%. In September 2010 the German government announced the following new aggressive energy targets:
  • Renewable electricity
    Electricity
    Electricity is a general term encompassing a variety of phenomena resulting from the presence and flow of electric charge. These include many easily recognizable phenomena, such as lightning, static electricity, and the flow of electrical current in an electrical wire...

     - 35% by 2020 and 80% by 2050
  • Renewable energy
    Energy
    In physics, energy is an indirectly observed quantity. It is often understood as the ability a physical system has to do work on other physical systems...

     - 18% by 2020, 30% by 2030, and 60% by 2050
  • Energy efficiency
    Efficient energy use
    Efficient energy use, sometimes simply called energy efficiency, is the goal of efforts to reduce the amount of energy required to provide products and services. For example, insulating a home allows a building to use less heating and cooling energy to achieve and maintain a comfortable temperature...

     - Cutting the national electrical consumption 50% below 2008 levels by 2050


The German Government reports that in 2010 renewable energy
Renewable energy
Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...

 (mainly wind turbines and biomass plants) generated more than 100 TWh (billion kilowatt-hours) of electricity, providing nearly 17% of the 600 TWh of electricity supplied.

Wind power

See main article: Wind power in Germany
Wind power in Germany
In 2010, the installed capacity of wind power in Germany was 27.2 GW. Wind power currently produces about seven percent of Germany’s total electrical power. More than 21,607 wind turbines are located in the German federal area and the country has plans to build more wind turbines...


Closely after the USA, Germany is the world's second largest user of wind power
Wind power
Wind power is the conversion of wind energy into a useful form of energy, such as using wind turbines to make electricity, windmills for mechanical power, windpumps for water pumping or drainage, or sails to propel ships....

 with an installed capacity of 23,903 MW by the end of 2008, ahead of Spain which had an installed capacity of 16,740 MW. 20,301 wind turbines are located in the German federal area and the country has plans to build more wind turbines.

In 2009, 6.5% of Germany's total electricity consumption was satisfied by wind power. 867 wind power plants were constructed in 2008, and 952 more in 2009. At the end of 2009, Germany possessed 21,614 wind power plants. Their installed electricity production capacity was 25,777 MW.

Wind power currently produces about seven percent of Germany's total power and it is said that no other country has more technological know-how in this area. Wind power in Germany provides over 70,000 people with jobs and German wind energy systems are also exported. However, the economics of wind power in Germany are under close scrutiny and there are other issues which deserve consideration. These include the effects of wind turbines on the landscape, the bird population, and the tourist industry.

Following the 2011 Japanese nuclear accidents
2011 Japanese nuclear accidents
This is a list of articles describing aspects of the nuclear shut-downs, failures, and nuclear meltdowns triggered by the 2011 Tōhoku earthquake and tsunami.-Fukushima nuclear power plants:* Fukushima I Nuclear Power Plant...

, Germany's federal government is working on a new plan for increasing energy efficiency
Efficient energy use
Efficient energy use, sometimes simply called energy efficiency, is the goal of efforts to reduce the amount of energy required to provide products and services. For example, insulating a home allows a building to use less heating and cooling energy to achieve and maintain a comfortable temperature...

 and renewable energy commercialization
Renewable energy commercialization
Renewable energy commercialization involves the deployment of three generations of renewable energy technologies dating back more than 100 years. First-generation technologies, which are already mature and economically competitive, include biomass, hydroelectricity, geothermal power and heat...

, with a particular focus on offshore wind farms. Under the plan large wind turbine
Wind turbine
A wind turbine is a device that converts kinetic energy from the wind into mechanical energy. If the mechanical energy is used to produce electricity, the device may be called a wind generator or wind charger. If the mechanical energy is used to drive machinery, such as for grinding grain or...

s will be erected far away from the coastlines, where the wind blows more consistently than it does on land, and where the enormous turbines won't bother the inhabitants. The plan aims to decrease Germany's dependence on energy derived from coal and nuclear power plants.

Photovoltaic solar power

At the end of 2007 Germany had an installed capacity of 3,830 MWp. By the end of 2009, capacity had increased to 9,800 MWp. The first 9 months of 2010 added about 5,400 MWp in new solar capacity. In 2006, the European Commission
European Commission
The European Commission is the executive body of the European Union. The body is responsible for proposing legislation, implementing decisions, upholding the Union's treaties and the general day-to-day running of the Union....

 anticipated that Germany may have installed around 4,500 MWp by 2010. For 2009, the German government calculated that the PV industry provided 64,700 jobs in production, distribution and installation. Over 90% of solar PV installations are in grid-tied applications in Germany.

Completed in 2006, the 12 MW Solarpark Gut Erlasee photovoltaic system, near Arnstein
Arnstein
Arnstein is a town in the Main-Spessart district in the Regierungsbezirk of Lower Franconia in Bavaria, Germany.- Location :...

 in Bavaria
Bavaria
Bavaria, formally the Free State of Bavaria is a state of Germany, located in the southeast of Germany. With an area of , it is the largest state by area, forming almost 20% of the total land area of Germany...

, was, at the time of construction, the world's largest PV system. The Waldpolenz Solar Park
Waldpolenz Solar Park
Waldpolenz Solar Park, which is the world’s largest thin-film photovoltaic power system, was built by German developer and operator Juwi at a former military air base to the east of Leipzig in Germany. The power plant is a 40 MW solar power system using state-of-the-art thin film technology, and...

, which is the world’s largest thin-film photovoltaic (PV) power system, became fully operational by the end of 2008. The power plant is a 40 MW solar power
Solar power
Solar energy, radiant light and heat from the sun, has been harnessed by humans since ancient times using a range of ever-evolving technologies. Solar radiation, along with secondary solar-powered resources such as wind and wave power, hydroelectricity and biomass, account for most of the available...

 system using state-of-the-art thin film
Thin film
A thin film is a layer of material ranging from fractions of a nanometer to several micrometers in thickness. Electronic semiconductor devices and optical coatings are the main applications benefiting from thin film construction....

 technology.

Geothermal power

See main article: Geothermal power in Germany
Geothermal power in Germany
Electricity from geothermal sources is expected to grow in Germany mainly because a law that benefits the production of geothermal electricity and guarantees a feed-in tariff. Less than 0.4 percent of Germany's total primary energy supply came from geothermal sources in 2004...


The installed capacity for geothermal energy in Germany was of 8.4 MW in 2007.

Hydroelectricity

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

Renewable energy industry

Germany's renewable energy sector is among the most innovative and successful worldwide. Nordex
Nordex
Nordex is a German company that designs, sells and manufactures wind turbines. The domicile is located in the German city of Hamburg, production takes place in Rostock, China and Jonesboro, Arkansas. The company was founded in 1985 in Give, Denmark. Since then the company steadily grew...

, Repower
REpower
REpower is a German wind turbine company founded in 2001, purchased December 2009 by Suzlon Energy Ltd. Its product range comprises several types of turbines with rated outputs of between 1.5 and 6 megawatts. It created the 5M, in 2005....

, Fuhrländer and Enercon
Enercon
Enercon GmbH, based in Aurich, Germany, is the fourth-largest wind turbine manufacturer in the world and has been the market leader in Germany since the mid-nineties. Enercon has production facilities in Germany , Sweden, Brazil, India, Canada, Turkey and Portugal...

 are wind power companies based in Germany. SolarWorld
SolarWorld
SolarWorld is a German company dedicated to the manufacture and marketing photovoltaic products worldwide by integrating all components of the solar value chain, from feedstock to module production, from trade with solar panels to the promotion and construction of turn-key solar power plants...

, Q-Cells
Q-Cells
Q-Cells is a manufacturer of photovoltaic cells, established in 1999. Its core business is the development, production and marketing of crystalline silicon photovoltaic cells....

 and Conergy
Conergy
Conergy AG is a company in the solar energy industry founded in 1998 by the former chairman of the board Hans-Martin Rüter. It had a turnover of 706 Million euros in 2007, and employs more than 2000 staff. It also has a company called Conergy Americas....

 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.

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 percent.

Siemens
Siemens
Siemens may refer toSiemens, a German family name carried by generations of telecommunications industrialists, including:* Werner von Siemens , inventor, founder of Siemens AG...

 chief executive, Peter Löscher believes that Germany’s target of generating 35 per cent 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”.

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
Alliance '90/The Greens
Alliance '90/The Greens is a green political party in Germany, formed from the merger of the German Green Party and Alliance 90 in 1993. Its leaders are Claudia Roth and Cem Özdemir...

 party joined the Federal Government
Politics of Germany
The Federal Republic of Germany is a federal parliamentary republic, based on representative democracy. The Chancellor is the head of government, while the President of Germany is the head of state, which is a ceremonial role but with substantial reserve powers.Executive power is vested in the...

 between 1998 and 2005. The renewable energy sector was aided especially by the Renewable Energy Sources Act
German Renewable Energy Act
The German Renewable Energy Act was designed to encourage cost reductions based on improved energy efficiency from economies of scale over time...

 that promotes renewable energy mainly by stipulating feed-in tariffs
Feed-in tariffs in Germany
Feed-in electricity tariffs have been introduced in Germany to encourage the use of new energy technologies such as wind power, biomass, hydropower, geothermal power and solar photovoltaics. Each technology is eligible for a different feed-in rate...

 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.

For the 2005–2010 period the Federal Government set aside nearly 800 million euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...

s for scientific research in the country. That research will be earmarked for policies of long-term development.
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
Nuclear power in Germany
Nuclear power in Germany accounted for 23% of national electricity consumption, before the permanent shutdown of 8 plants in March 2011. German nuclear power began with research reactors in the 1950s and 1960s with the first commercial plant coming online in 1969...

 was set to 2022.

The cost of replacing Germany's nuclear power generation with renewable energy has been officially estimated by the German Ministry of Economics
Federal Ministry of Economics and Technology (Germany)
The Federal Ministry of Economics and Technology is a ministry of the German Federal Government since 1998...

 at about €0.01/kW·h (about €55 billion for the next decade), on top of the €13 billion per year already devoted to subsidizing renewables.
However, unofficial estimates of the ministry, and of the Rhenish-Westphalian Institute for Economic Research
RWI Essen
The RWI Essen, full German name Rheinisch-Westfälisches Institut für Wirtschaftsforschung e.V., is one of the leading economic research institutions in Germany...

 (RWI), German Energy Agency (DENA), Federation of German Consumer Organizations (VZBV), and the government-owned development bank (KfW
KFW
KFW may refer to:*Keith Fullerton Whitman , an American musician*KfW or Kreditanstalt für Wiederaufbau, a German public-sector financial institution...

), put the cost several times higher, at about €250 billion ($340 B) over the next decade.

The German energy policy is framed within the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

, and the March 2007 European Council
European Council
The European Council is an institution of the European Union. It comprises the heads of state or government of the EU member states, along with the President of the European Commission and the President of the European Council, currently Herman Van Rompuy...

 in Brussels
Brussels
Brussels , officially the Brussels Region or Brussels-Capital Region , is the capital of Belgium and the de facto capital of the European Union...

 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). The accord indirectly acknowledged the role of nuclear energy
Nuclear power
Nuclear power is the use of sustained nuclear fission to generate heat and electricity. Nuclear power plants provide about 6% of the world's energy and 13–14% of the world's electricity, with the U.S., France, and Japan together accounting for about 50% of nuclear generated electricity...

 — which is not renewable
Nuclear power proposed as renewable energy
Although nuclear power is considered a low carbon power generation source, its legal inclusion with renewable energy power sources has been the subject of debate. Statutory and scientific definitions of renewable energies usually exclude nuclear energy...

, but emissions-free — in the reduction of the emission of greenhouse gas
Greenhouse gas
A greenhouse gas is a gas in an atmosphere that absorbs and emits radiation within the thermal infrared range. This process is the fundamental cause of the greenhouse effect. The primary greenhouse gases in the Earth's atmosphere are water vapor, carbon dioxide, methane, nitrous oxide, and ozone...

ses, allowing each member state to decide whether or not to use nuclear generated electricity.

Also a compromise was reached to achieve a minimum quota of 10% Biofuel
Biofuel
Biofuel is a type of fuel whose energy is derived from biological carbon fixation. Biofuels include fuels derived from biomass conversion, as well as solid biomass, liquid fuels and various biogases...

s in the total consumption of gasoline
Gasoline
Gasoline , or petrol , is a toxic, translucent, petroleum-derived liquid that is primarily used as a fuel in internal combustion engines. It consists mostly of organic compounds obtained by the fractional distillation of petroleum, enhanced with a variety of additives. Some gasolines also contain...

 and diesel in transport in 2020.

Criticism

A 2009 study from RWI Essen
RWI Essen
The RWI Essen, full German name Rheinisch-Westfälisches Institut für Wirtschaftsforschung e.V., is one of the leading economic research institutions in Germany...

 of the effects of the Renewable Energy Sources Act concluded that:
  • using photovoltaics in emission reduction is 53 times more expensive than the European Union Emission Trading Scheme
    European Union Emission Trading Scheme
    The European Union Emissions Trading Scheme also known as the European Union Emissions Trading System, was the first large emissions trading scheme in the world. It was launched in 2005 to combat climate change and is a major pillar of EU climate policy...

    's market price, while wind power is 4 times more expensive, thereby discouraging other industries from finding more cost-effective methods of reducing emissions;
  • although renewable energy subsidies increase retail electricity rates by 3%, they reduce the profits of German electrical utilities by an average of 8%, making them less competitive with other European utilities;
  • despite lavish subsidies, Germany's photovoltaic industry is losing its market share to other countries, particularly China and Japan;
  • it stifles renewable energy innovation by arbitrarily awarding subsidies to different technologies, instead of according to their cost-effectiveness.


Germany's Federal Ministry for Environment, Nature Conservation and Nuclear Safety responded to the RWI Essen study, describing the criticisms as "well known and refuted a long time ago".

Statistics

Increases in installed renewable electric power capacity and generation in recent years is shown in the table below:
Year Installed
capacity
[MW]
Hydropower
[GWh]
Wind energy
[GWh]
Biomass
[GWh]
Biogenic share
of waste
[GWh]
Photovoltaics
[GWh]
Geothermal
energy
[GWh]
Total electricity
generation
[GWh]
Share of gross
electricity
consumption
[%]
1990 5,043 15,580 71 221 1,213 1 0 17,086 3.1
1991 5,149 15,402 100 260 1,211 2 0 16,974 3.1
1992 5,270 18,091 275 296 1,262 3 0 19,927 3.7
1993 5,483 18,526 600 433 1,203 6 0 20,768 3.9
1994 5,830 19,501 909 569 1,306 8 0 22,293 4.2
1995 6,415 20,747 1,500 665 1,348 11 0 24,271 4.5
1996 6,927 18,340 2,032 759 1,343 16 0 22,490 4.1
1997 7,521 18,453 2,966 880 1,397 26 0 23,722 4.3
1998 8,472 18,452 4,489 1,642 1,618 32 0 26,233 4.7
1999 10,040 20,686 5,528 1,849 1,740 42 0 29,845 5.4
2000 11,937 24,867 7,550 2,893 1,844 64 0 37,218 6.4
2001 14,817 23,241 10,509 3,348 1,859 76 0 39,033 6.7
2002 18,333 23,662 15,786 4,089 1,949 162 0 45,648 7.8
2003 21,617 17,722 18,713 6,086 2,161 313 0 44,995 7.5
2004 24,848 19,910 25,509 7,960 2,117 556 0.2 56,052 9.2
2005 28,300 19,576 27,229 10,978 3,047 1,282 0.2 62,112 10.1
2006 32,048 20,042 30,710 14,841 3,675 2,220 0.4 71,488 11.6
2007 35,851 21,249 39,713 19,760 4,130 3,075 0.4 87,927 14.2
2008 40,108 20,446 40,574 22,872 4,659 4,420 17.6 92,988 15.1
2009 46,377 19,059 38,639 25,989 4,352 6,578 18.8 94,636 16.3
2010 55,702 19,694 36,500 28,710 4,750 12,000 27.2 101,681 16.8
2010 Q1 4,370 10,900 6,840 1,160 1,460 24,900 17.1
2010 Q1+2 9,800 18,300 14,800 2,200 5,500 50,400 17.1
2011 Q1 5,270 11,560 7,170 1,320 2,780 28,100 19.2
2011 Q1+2 9,200 20,700 15,700 2,200 9,700 57,300 20.8

See also

  • Energy policy of the European Union
    Energy policy of the European Union
    Although the European Union has legislated in the area of energy policy for many years, and evolved out of the European Coal and Steel Community, the concept of introducing a mandatory and comprehensive European energy policy was only approved at the meeting of the European Council on 27 October...

  • Renewable energy in the European Union
    Renewable energy in the European Union
    The countries of the European Union are currently the number two global leaders in the development and application of renewable energy. Promoting the use of renewable energy sources is important both to the reduction of the EU's dependence on foreign energy imports, and in meeting targets to combat...

  • Passivhaus
  • Renewable energy commercialization
    Renewable energy commercialization
    Renewable energy commercialization involves the deployment of three generations of renewable energy technologies dating back more than 100 years. First-generation technologies, which are already mature and economically competitive, include biomass, hydroelectricity, geothermal power and heat...

  • List of countries by renewable electricity production
  • Germany National Renewable Energy Action Plan
    Germany National Renewable Energy Action Plan
    National Renewable Energy Action Plans were made by all Member States of the European Union in 2010. These plans provide detailed roadmaps of how each Member State expects to reach its legally binding 2020 target for the share of renewable energy in their final energy consumption required by...

  • Nuclear energy policy
    Nuclear energy policy
    Nuclear energy policy is a national and international policy concerning some or all aspects of nuclear energy, such as mining for nuclear fuel, extraction and processing of nuclear fuel from the ore, generating electricity by nuclear power, enriching and storing spent nuclear fuel and nuclear fuel...

  • Berlin Declaration (2007)
    Berlin Declaration (2007)
    The Berlin Declaration is a non-binding European Union text that was signed on 25 March 2007 in Berlin , celebrating the fiftieth anniversary of the signing of the Treaty of Rome which founded the European Economic Community, the predecessor to the modern...

  • Common Foreign and Security Policy
    Common Foreign and Security Policy
    The Common Foreign and Security Policy is the organised, agreed foreign policy of the European Union for mainly security and defence diplomacy and actions. CFSP deals only with a specific part of the EU's external relations, which domains include mainly Trade and Commercial Policy and other areas...


External links

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