Green Energy in Germany: Renewable sources, capacity growth and future outlook

Date: March 22, 2010
Pages: 111
Price:
US$ 2,875.00
Publisher: Business Insights
Report type: Strategic Report
Delivery: E-mail Delivery (PDF), Hard Copy Mail Delivery, CD-ROM Mail Delivery
ID: GC82D499787EN
Leaflet:

Download PDF Leaflet

Green Energy in Germany: Renewable sources, capacity growth and future outlook
During 2004–08, Germany’s electricity generation increased at a low CAGR of 0.7% largely due to adoption of energy efficiency measures with the aim to reduce growth in demand. Germany’s energy policy is governed by the strategy to reduce dependence on imports of fossil fuels, while simultaneously switching to renewable and clean energy technologies. With the introduction of feed-in tariffs under the EEG in 2000, renewable energy technologies experienced strong growth. In order to meet the emission reduction target laid out in the EU directive, Germany adopted its own national climate action plan. At present, German government incentives and mandates are the main drivers of renewable energy in Germany.

This report documents the growth of the German renewable energy market, showing its current status and projecting where it is likely to grow to in the foreseeable future.

This document gathers the statistical data on the different types of energy generation, combines and contrasts them against each other to show the clear leaders, drivers to change and future growth.

Key features of this report

  • Overview of the German electricity market with focus on renewable energy. Analysis of energy type volumes, capacity installed, and generation output in Germany.
  • Growth of renewables – installed capacity and generation, government mandates and incentives, and comparative economics.
  • Information and analysis by renewable energy sector – wind, biomass, hydro, solar, geothermal, and biofuels.
  • Installed capacity and generation, global comparison, key players, economics, drivers, resistors, and outlook for each renewable energy sector.


  • Scope of this report

  • Achieve a quick and comprehensive understanding of how German market trends and legislation are influencing the development of the renewable energy market.
  • Assess the emerging trends in renewable energy technology – wind, biomass, hydropower, solar, geothermal, and biofuels - capacity and generation.
  • Quantify value and volume growth potential in German electricity market and in energy generation technology type.
  • Understand the major issues affecting the German electricity industry in general and renewable electricity in particular.
  • Predict the key growth areas in the German renewable energy industry.


  • Key Market Issues

  • EU Emission Reduction Targets: Historically, the EU’s emission reduction targets are the primary drivers for implementation of policies that encouraged usage of renewable energy in the EU member states. The EU’s directive on reducing GHG emissions through increased usage of renewable energy is expected to be met at individual country-level through their own policies.
  • Renewable Energy Incentives and Mandates: In order to meet the emission reduction target laid out in the EU directive, Germany adopted its own national climate action plan. The EEG enacted in 2000 regularly monitors and adjusts the tariffs to suit market conditions and technological developments.
  • Energy Security: Germany is increasingly substituting its fuel-based power generation with domestically-produced renewable energy, primarily to reduce its dependency on imports of fossil fuels from countries such as Russia.


  • Key findings from this report

  • In 2008, Germany’s electricity generation totaled 612.8TWh, an increase of 0.3% over 2007. During 2004–08, Germany’s electricity generation increased at a low CAGR of 0.7% largely due to adoption of energy efficiency measures with the aim to reduce growth in demand.
  • Contribution of fossil-fuel based generation to the total electricity generation in Germany reduced from 90.3% in 2004 to 84.9% in 2008, while share of renewables increased from 9.7% in 2004 to 15.1% in 2008. Germany’s increased preference for renewables is driven by the need to replace fossil fuels while countering climate change.
  • Installed capacity for electricity generation from renewable sources increased from 4,651MW in 1990 to 37,406MW in 2008 largely led by phenomenal growth in wind energy capacity from 56MW in 1990 to 23,895MW in 2008.


  • Key questions answered

  • What are the drivers shaping and influencing new capacity installed in the energy industry?
  • How will renewable energy technologies capacity share perform to 2050? What are the opportunities?
  • What are the forecast market growth rates 2008-2050?
  • What is the policy framework governing the renewable energy market?

  • Green Energy in Germany
    Executive summary 10
    Market development 10
    Wind power 11
    Biomass 12
    Hydropower 12
    Solar power 13
    Geothermal power 14
    Biofuels 15

    CHAPTER 1 MARKET DEVELOPMENT

    Summary 18
    Overview of Germany electricity market 19
    Generation and installed capacity 19
    Average retail electricity price 21
    Overview of renewable energy in Germany 22
    Background 22
    Installed capacity and growth of renewables 24
    Drivers of renewable energy 29
    EU emission reduction targets 29
    German government incentives and mandates 31
    Technological developments leading to decrease in costs 32
    Resistors of renewable energy 33
    Uncertainty in government support 33
    High cost of renewable energy technologies 34
    Concerns over impact on environment and habitat 34
    Comparative economics 35
    Global comparison 36

    CHAPTER 2 WIND POWER

    Summary 38
    Overview 39
    Current scenario 39
    Installed capacity and generation 39
    Global comparison 40
    Key players 41
    Economics 43
    Drivers of wind power 43
    EU mandates and government incentives 43
    Technological developments 44
    Resistors of wind power 45
    Uncertainty in government support and dampened private financing 45
    High cost of grid connection 45
    Wind power outlook 45

    CHAPTER 3 BIOMASS

    Summary 50
    Overview 51
    Current scenario 51
    Installed capacity and generation 51
    Global comparison 52
    Key players 53
    Economics 54
    Drivers of biomass 54
    Government incentives 54
    Increasing potential as a heating resource 54
    Attractiveness of co-firing 55
    Resistors of Biomass 55
    Loss of biodiversity 55
    Increasing raw material costs 55
    Biomass outlook 56

    CHAPTER 4 HYDROPOWER

    Summary 60
    Overview 61
    Current scenario 61
    Installed capacity and generation 61
    Global comparison 62
    Key players 64
    Economics 65
    Drivers of hydropower 65
    Government incentives 65
    Potential to develop small hydropower facilities 66
    Resistors of hydropower 67
    High environmental and social impact 67
    EU’s Water Framework Directive 67
    Hydropower outlook 68

    CHAPTER 5 SOLAR POWER

    Summary 72
    Overview 73
    Current scenario 73
    Installed capacity and generation 73
    Global comparison 74
    Key players 76
    Economics 76
    Drivers of solar power 78
    Matured and stable PV market 78
    Resistors of solar power 79
    Possible cut in feed-in tariff rates for solar power 79
    Cost disadvantage of local module manufacturers over Chinese counterparts 79
    Solar power outlook 80

    CHAPTER 6 GEOTHERMAL POWER

    Summary 84
    Overview 85
    Current scenario 85
    Installed capacity and generation 85
    Global comparison 86
    Economics 88
    Drivers of geothermal power 88
    Government incentives 88
    High capacity factor/base load potential 89
    Resistors of geothermal power 89
    Need for effective technology 89
    Lack of early stage finance 90
    Competition for drilling equipment from oil and gas industry 90
    Geothermal power outlook 91

    CHAPTER 7 BIOFUELS

    Summary 94
    Overview 95
    Current scenario 95
    Installed capacity and generation 95
    Global comparison 96
    Key players 97
    Economics 98
    Drivers of biofuels 98
    Government initiatives to foster growth 98
    Second-generation biofuels to drive growth 98
    Resistors of biofuels 99
    Food versus fuel conflict 99
    Increasing tax burden 100
    Biofuels outlook 100

    CHAPTER 8 OUTLOOK

    Outlook for the German electricity sector 104
    Outlook for renewables 106
    Appendix 110
    Glossary 110
    Index 111

    LIST OF FIGURES

    Figure 1.1: Gross electricity generation by source (TWh), 2004–08 20
    Figure 1.2: Installed capacity by energy source (MW), 2008 21
    Figure 1.3: Growth of electricity generation from renewables (TWh), 1990–08 24
    Figure 1.4: Installed capacity of renewable energy (MW), 1990–08 26
    Figure 1.5: Germany, structure of renewable energy generation market (%), 2008 27
    Figure 1.6: Germany, structure of final energy supply from renewable energy sources (%), 200828
    Figure 1.7: Germany, structure of fuel supply from renewable energy sources (%), 2008 29
    Figure 1.8: Instruments adopted by EU member states for the promotion of renewable energy 31
    Figure 2.9: Germany, cumulative installed wind power capacity (MW), 2004–08 40
    Figure 2.10: Top 5 countries by cumulative installed wind power capacity (MW), 2008 41
    Figure 2.11: Germany, wind power key players (%), 2008 42
    Figure 2.12: Germany, wind power generation projections (TWh), 2010–50 47
    Figure 3.13: Germany, cumulative installed biomass capacity (MW), 2004–08 52
    Figure 3.14: Top 5 countries by biomass power generation (TWh), 2008 53
    Figure 3.15: Germany, biomass power generation projections (TWh), 2010–50 57
    Figure 4.16: Germany, cumulative installed hydropower capacity (MW), 2004–08 62
    Figure 4.17: Top 3 countries by cumulative installed small hydropower capacity (MW), 2008 63
    Figure 4.18: Top 5 countries by hydropower consumption (TWh), 2008 64
    Figure 4.19: Germany, hydropower generation projections (TWh), 2010–50 69
    Figure 5.20: Germany, cumulative installed solar PV capacity (MW), 2004–08 74
    Figure 5.21: Top 5 countries by cumulative installed solar PV capacity (MW), 2008 75
    Figure 5.22: Solar PV module price per peak kilowatt (€/kWp) 77
    Figure 5.23: Germany, solar PV cumulative capacity projections (MW), 2009–13 81
    Figure 5.24: Germany, solar PV generation projections (TWh), 2010–50 82
    Figure 6.25: Germany, cumulative installed geothermal capacity (MW), 2004–08 86
    Figure 6.26: Top 5 countries by cumulative geothermal installed capacity (MW), 2005 87
    Figure 6.27: Germany, geothermal power generation projections (TWh), 2010–50 92
    Figure 7.28: Germany, energy generated from biofuels (TWh), 2004–08 96
    Figure 7.29: Top 5 countries by biofuels production (barrels per day), 2008 97
    Figure 7.30: Germany, biofuels energy generation projections (TWh), 2010–50 101
    Figure 8.31: Primary energy forecasts (PJ/year), 2010–50 105

    LIST OF TABLES

    Table 1.1: Gross electricity generation by source (TWh), 2004–08 19
    Table 1.2: Installed capacity by energy source (MW), 2008 21
    Table 1.3: Growth of electricity generation from renewables (TWh), 1990–08 23
    Table 1.4: Installed capacity of renewable energy (MW), 1990–08 25
    Table 1.5: Germany, structure of renewable energy generation market (%), 2008 26
    Table 1.6: Germany, structure of final energy supply from renewable energy sources (%), 200827
    Table 1.7: Germany, structure of fuel supply from renewable energy sources (%), 2008 28
    Table 1.8: Cost of electricity generation by fuel type, 2008 35
    Table 1.9: Global comparison of cumulative installed renewable energy capacity, 2008 36
    Table 2.10: Germany, cumulative installed wind power capacity (MW), 2004–08 40
    Table 2.11: Top 5 countries by cumulative installed wind power capacity (MW), 2008 41
    Table 2.12: Germany, wind power key players (%), 2008 42
    Table 2.13: Germany, wind power generation projections (TWh), 2010–50 47
    Table 3.14: Germany, cumulative installed biomass capacity (MW), 2004–08 52
    Table 3.15: Top 5 countries by biomass power generation (TWh), 2008 53
    Table 3.16: Germany, biomass power generation projections (TWh), 2010–50 56
    Table 4.17: Germany, cumulative installed hydropower capacity (MW), 2004–08 62
    Table 4.18: Top 3 countries by cumulative installed small hydropower capacity (MW), 2008 63
    Table 4.19: Top 5 countries by hydropower consumption (TWh), 2008 64
    Table 4.20: Germany, hydropower generation projections (TWh), 2010–50 68
    Table 5.21: Germany, cumulative installed solar PV capacity (MW), 2004–08 74
    Table 5.22: Top 5 countries by cumulative installed solar PV capacity (MW), 2008 75
    Table 5.23: Solar PV module price per peak kilowatt (€/kWp) 77
    Table 5.24: Germany, solar PV cumulative capacity projections (MW), 2009–13 80
    Table 5.25: Germany, solar PV generation projections (TWh), 2010–50 81
    Table 6.26: Germany, cumulative installed geothermal capacity (MW), 2004–08 86
    Table 6.27: Top 5 countries by cumulative geothermal installed capacity (MW), 2005 87
    Table 6.28: Germany, geothermal power generation projections (TWh), 2010–50 91
    Table 7.29: Germany, energy generated from biofuels (TWh), 2004–08 95
    Table 7.30: Top 5 countries by biofuels production (barrels per day), 2008 97
    Table 7.31: Germany, biofuels energy generation projections (TWh), 2010–50 100
    Table 8.32: Primary energy forecasts (PJ/year), 2010–50 104

    Skip to top


    Ask Your Question

    Green Energy in Germany: Renewable sources, capacity growth and future outlook
    Company name*:
    Contact person*:
    Phone/fax*:
    Email*:
    Request invoice
    Your enquiry:
    Please click on a Check Box below to confirm you are not a robot: