American critics of Energiewende regularly announce its approaching demise. A hypocritical article in the Wallstreet Journal announced that Germany will spend €1 trillion on its’ renewable energy experiment by 2040, without mentioning that a large portion of that money was for electric grid upgrades that would be needed anyway. Nor did the author disclose the fact an even larger sum (€90 billion a year) would have gone to fossil fuels. Similarly, Forbesmocked Germany’s slight rise in CO2 levels, without mentioning they are already 23% lower than the 1990 benchmark set by the Kyoto Accord. (The author’s country, the US, is still 5% above that target.) Their carping does not explain how Germany became Europe’s powerhouse and the fourth largest economy in the World. Nor does it do justice to the nation the Renewable Energy Country Attractiveness Index (RECAI) ranks #3for renewable investments. Energiewende will succeed because it is embraced by the German people.
If the stock market’s response is any indication, E.ON has the right idea. Shares are selling at a two year high. A little over two weeks ago the price was €12.948; yesterday’s closing sale was €15.055. On November 30, Germany’s largest utility announced that it will split into two parts. A new company will be formed to take over conventional energy sources, allowing E.ON to focus on the new energy world.
Germany has long been one of the world’s leading centers of the wind industry. Thus I welcomed an opportunity to question Esther Frey, renewable energies expert at Germany Trade & Invest (GTAI), about this technology’s effectiveness and future development. GTAI is the foreign trade and inward investment promotion agency of the Federal Republic of Germany. Ms Frey provided some valuable insight into some of the issues involved in developing Germany’s Wind Energy Potential.
