sesam@uni-flensburg.de

1. University of Flensburg/GermanyInternational Institute of ManagementEnergy and Environmental Management in Developing Countries(former SESAM)MEng (Industrial Engineering) Energy in Germany Presentation at UWI Jamaica .2009 August Schläpfer Wulf Boie www.iim.uni-flensburg.de/sesam sesam@uni-flensburg.de

2. Energy Consumption in Germany • The German economy is large and developed • Fifth in the world by GDP • Germany consumed the fifth most energy per capita in the world in 2004 • In 2007, Germany consumed 472 million tons of coal equivalents • The consumption is divided up as follows: • Mineral oils 33.8% • Natural gas 22.7% • Hard Coal 14.1% • Nuclear energy 11.1% • Lignite11.7% • Renewables6.6% http://www.euronuclear.org/info/encyclopedia/p/pri-con-ger.htm University of Flensburg Energy and Environmental Management

3. Germany depends on energy imports higher than the average EU-27 Electricity generation is based primarily on coal and nuclear energy, with growing shares of natural gas and renewable sources 2004 Net Imports Imports by Energy Product Energy Imports http://ec.europa.eu/energy/energy_policy/doc/factsheets/mix/mix_de_en.pdf University of Flensburg Energy and Environmental Management

4. German Renewable Energy Act: Guaranteed Purchase of Renewable Energy Grid Operators SupplyRenewableElectricity Private Investors Renwable Energy Plants Pay Feed In Tariff SupplyRenewableElectricity as share of Electricity Mix Electricity Suppliers Reimburse Feed In Tariff Equalize and balance quantities of RE SupplyRenewableElectricity as share of Electricity Mix Electricity Consumers Reimburse Feed In Tariff as part of electricity tariff University of Flensburg Energy and Environmental Management

5. German Renewable Energy Act:Feed-In Tariffs (2009) Guaranteed for 20 years, degressions for installation after 2009 University of Flensburg Energy and Environmental Management

6. German Renewable Energy Act:Impact on Electricity Tariffs Added cost of feed-in tariff 1.1 ct Added cost of feed-in tariff 0.1 ct Electricity tax 2.0 ct Value Added Tax 3.4 ct Concession fees 1.8 ct Generation,Transmission, Marketing 13 ct • Included in generation/transmission cost: 0.4-0.8 ct for additional control energy • Fraunhofer Institute: Reduction of market price due to wind energy: 0.95 ct/kWh University of Flensburg Energy and Environmental Management

7. 6.3% German Renewable Energy Act:Impact 15.1% Large share of renewable energy plants in Germany owned by individual farmers, households, groups of individuals: Solar PV Wind Biogenic waste Biomass Hydropower • 90 % of windfarms in North Frisia owned by groups of citizens • 80 % of biogas plants in Germany below 500 kWel, 17% owned by cooperatives • Most PV plants roof mounted, owned by households, farmers, communities University of Flensburg Energy and Environmental Management

8. German Renewable Energy Act:Impact on Environment and Economy • Climate: 72 million t CO2eq.. savings in 2008 • Fossil fuel import: 1 billion € savings in 2007 (mainly coal and natural gas) • Economy: Total turnover of the RE sector: 28.8 Billion € in 2008 University of Flensburg Energy and Environmental Management

9. German Renewable Energy Act:Impact on Regional Development • Employment: 278 000 people working in the German RE sector in 2008 Example Northern Schleswig Holstein (360 000 inhabitants): 9500 directly and indirectly employed by wind energy sector in 2003 • Local income from energy sales if RE plants are locally owned Example North Frisia (167 000 inhabitants): approx. 30 Million €/year net income from energy sales • Tax income: Operators of RE plants pay local business tax to communities Example North Frisia (167 000 inhabitants): 676 MW wind capacity, 9,1 mio income from business tax University of Flensburg Energy and Environmental Management