December 10, 2013

Deutsche Bank Research: Energiewende 2.0 – don't risk competitiveness

In its publication “Standpunkt Deutschland”, Deutsche Bank Research explain: The expansion of renewables, while a worthy long-term goal, is presently jeopardising German competitiveness.

To prevent this, the Energiewende – i.e. energy turnaround or transformation – must be implemented more efficiently. We welcome government plans to impose a minimum levy on new systems for captive generation. To ensure the levy doesn’t also rise unsustainably, the subsidies should gradually be phased into market-based price and volume mechanisms. The government should tighten exceptions to the levy, while continuing to shield the energy-intensive companies most vulnerable to international competition.

Read the entire document.

Energiewende 2.0 – don't risk competitiveness

German industry has relatively high electricity costs

“For Germany to re­main an ex­port power­house, we need an “Energie­wende 2.0,” one that will im­prove the effi­ciency of the cur­rent sys­tem as well as intro­duce mar­ket mecha­nisms for future energy pri­cing.”

David Folkerts-Landau Group Chief Economist

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