German industry calls for reform of the renewables

London-German Association has published a proposal for reform of the country's renewable energy strategy, calling it on the first 100 days of the new Government to be adopted.

Button, to the trade body plan strategies for elimination are the feed-in tariff (FIT) for renewable energy and instead market mechanisms determine its price procurement makes more reserve capacity and more closely matching German renewable energy policy with EU policies.

Reform of renewable energies has been a growing problem in Germany, but was essentially on hold in the run-up to the elections.

The cost of the energy transition

Chief among in the Association of the costs relating to the energy revolution are affecting German industry (BDI),. The BDI says the fit is simply too expensive, claims that the costs for the industry and consumers exceeded the already critical limits and endanger competitiveness. "The EEG [Germany's renewable energy law], with its guaranteed feed-in tariffs and priority access for renewables, can support not the needs of a generation power market with supply and demand structures. High system cost are the result,"the group said in its proposal.

German consumers and businesses pay to support a so-called EEG supplement of the country the aim of meeting 80 percent of its energy needs with renewable energy by the year 2050. BDEW, energy and water Association, predicted, will this cost 20.4 billion rise 14.1 billion to € this year from €.

While German households below the highest electricity prices in the EU (and prices rise again in 2014 laid down), industry, is also feeling the bite despite EEG additional exceptions to the value of over €4 billion for energy-intensive sectors. The exceptions were originally designed for a small number of companies, but current estimates of the number of exempted companies range from approximately 1700 to 4000, leads to public protest in Germany and an ongoing investigation by European antitrust regulatory authority provided.

"The EEG system has been carefully structured to keep the German economy competitive," said partner at the law firm Bird & bird in Dusseldorf and a senior author of the German energy blog, Dr. Matthias lang. "The Germans want renewable energy, but at the same time they want to be built yet her Mercedes here." "Is why we see certain exceptions, and the EEG premium and grid fees increased over the years due to substantial increase in has drastically their commercial relevance."

Remove is the exceptions for the industry the costs for energy transformation are even harder to bite, and major implications might be for renewable energy support policies, said long. "You take a column if all exemptions, either for reasons of politics or European law," he said, "then the whole system is at risk and that will be a big challenge." If this element of the renewable energy support system, which has more industry is no longer practicable, heart the interests then can create this is a big issue for renewable energy support as a whole."

Alignment with Europe

The BDI proposal, German renewable energy policy more closely with the European directives is based on infrastructure and legal concerns. Germany have overtaken the rest of Europe in the implementation of renewable energy does not necessarily a good thing, said long. "The European target is 20% by 2020; If you are 30 percent, have not that you are necessarily better — they meet not the goals. He said if a nation creates problems of others for all because it does more than the goals, then it may be according to European requirements".

In its investigation the European Commission "will look hard at what Germany is actually doing, and I suspect that we actually have some criticism from Brussels," he continued. "It's about what fits our energy policy in Europe. If we prepare raster extension here, maybe it would be better, the grid in France, Belgium, the Czech Republic, etc. to build there, '' he said. "We have cross-border problems now because of various environmental regulations in different countries, the problems for the German economy--to create, is why BDI is interested in." "What we need in Europe to fit, because German companies sitting on both sides of the border."

Election results are the key

German Chancellor Angela Merkel, on Sunday for a third term re-elected has pointed out that the reform of renewable energies is at work, but so far has no details offered, how it should be achieved. Her party has said that it wants to make renewable energy competitive to on the market without further government support; It wants more responsibility for the security of energy supplies renewable power generators. Depends what kind of policy reform will now take place on the parties a possible coalition Government with the center-left Social Democrats and the Green Party both take part in the race.

Once a Government is formed, long said, there is "a really long discussion, to work such as [policy reform]. The victorious coalition parties have some difficult decisions about the renewable energy support system. It won't be easy for either party, to make these decisions." Contribute to the discussion, new EEG supplement pay will be released on October 15.

"I can't tell where this is going," said long. "Merkel said two years ago that the EEG surcharge not over €3.4 cents rise; next year it may be twice as much,"he continued. "We are a new price tag for the surcharge in October; at the same time must have decided new Government where you bring the EEG system."

It is possible, long said that the new Government "have a first quick-shot reaction only with certain elements" of policy reform. "We have seen in the past, that a new Government with an initial response, and then something comes up that take longer," he said. "Fundamental reform will take longer."

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NET that dosage rages on despite calls for calm

Net metering policy in 43 States and Washington DC--a "Wildly successful" are expansion PVA noted panelists Evan Dube of SunRun. Two studies published in the last few weeks, look at California and Vermont, calculate that net metering imagery benefits for taxpayers outweigh costs. The Vermont study in particular takes a broader view of net metering "uppercase" and should use its model, to front, he noted.

There is a glaring need for generally accepted procedures and transparency; for example, how net metering utilities postpone or avoid, transmission and distribution (T & D) investments can help. Investments in assets sales growth is not so attractive, more, John Costlow from the sustainable energy Fund pointed out. California is $12 billion in transmission investments staring and anywhere from $17 billion are needed Canadian to bring wind and hydro power down in New England markets. Utilities can the income through net metering complaining, but costs and may be attractive to the avoidance of such massive spending on utilities, the panelists agreed.

Recognition of tensions on both sides of the net metering debate, PVA expert Thomas E. Hoff of clean power research urged utilities and taxpayers to those tensions, diffuse focuses on the figures and at least agree what criteria on the value of solar energy, can be counted, even if utilities and taxpayers will assign different weights you. Where you the value net metering can be resolved in two ways, he said: "Cost of services" all out into a single rate structure or one "value of solar", in terms of consumption is treated separately from the production that brings. His example of different methods of net metering comparison, Austin Energy and MSEIA (particularly Philadelphia); Both had added weight, related factors of economic development, market price reductions and long-term societal benefits pretty much equivalent numbers for the "value" things such as T & D capacity production capacity and environmental benefits, but MSEIA.

Another key to the net metering is to understand its advantages in addition just solar. Utilities, see great value, for example, with immediate granular data during a storm outage, show them what actions online as most customers with the least impact, would get back found Costlow. One audience member suggested that criteria should be a value time of use Costlow pointed out that days were increased commitment the days which provided solar more energy.

Costlow warned utilities to fit their tariff structures as grid parity of solar power generation approaches, compared to their situation, such as the telephone industry from the initially slow penetration of mobile phones, broadsided was turned away from traditional fixed-line network in a warp-speed.

Yet a battle

Despite the demand for peace is clear, there are still very polarizing views on the value of net metering. Days before PG & E Helen Burt, senior Vice President and "chief customer officer" criticized, net metering for solar energy, say "they avoid paying their fair share of the electricity grid, which in the night," customers 'utility customers pay for fixed costs for electricity and other utilities remain."take their higher prices criticized a current study shows the benefits of net metering, arguing "solar advocates for paid [] with numbers, which get supported their position to a predictable conclusion" even as the California public utilities Commission (CPUC) committed, an own analysis net metering.

Not surprisingly, this net has incensed metering users everywhere. Running on the Sun founder/CEO Jim Jenal calls Burt's op/ed is a "Declaration of war on solar," "faux populism" and "naked self-interest." Extending the argument, he muses, when PG & E continue single taxpayers energy punish other practices will reduce installation of LED lamps with more efficient commercial HVAC systems. "Is this the right way to cover the cost of fixed assets? Maybe not, but one thing is sure, it was not the solar customers of PG & E of the fare structure, designed "he writes.

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Romney energy plan calls for East Coast to cut drilling to imports

With rising gasoline prices again voters is attention to US energy policy, now more accurately discussing his strategy for North American energy independence presumed Republican presidential candidate travel to New Mexico by 2020 including the US production with imports from Canada and Mexico.Energy, an "important issue for American voters" and the campaign plans to betonenBerater in the coming weeks Romney Ed Gillespie told reporters yesterday. He said that the proposal would create millions of jobs and lower energy costs.
The plan, which reviewed some issues Romney has already discussed during the election campaign, calls for the approval of Keystone XL pipeline to tar sands crude from Alberta to refineries on the Gulf Coast.

Obama in January rejected an application for a permit of TransCanada Corp., the project sponsor, to Nebraska official concern that the pipeline could threaten the Ogallala Aquifer. The Obama management checks a revised proposal.
Romney the plan would also state control over energy to millions of acres of land now under State authority to give, as well as open area off the coasts of Virginia and the Carolinas to oil and gas producers for the first time.

Gasoline prices
May be there is again a renewed focus on energy as petrol prices rise. Prices the AAA, the nationwide largest Motorsports organization $3.72 in the United States averaged, up from $3.47 per month before, according to the latest daily report.

Romney and Republican groups have criticized Obama, what they say is a waste of billions of tax dollars on clean energy subsidies, including a loan guarantee $535 million to Solyndra LLC, the solar panel maker, which went bankrupt, so fossil production on federal countries has fallen.
Obama said total oil and gas production is, which accounts for the development on private land.

Imports fell by around 45 per cent of US demand last year from a high of around 60 percent in 2005, according to the energy information administration, which tracks and analyzes energy data. This year said dependence on imported oil to about 42 percent of the country should fall, Adam Sieminski, head of the EIA, in a telephone interview yesterday.
Obama says that he supports an "All of the above" energy policy, which contains more development of the oil and gas industry as well as tax credits, renewable energy sources such as wind power, expand the Romney favour declines.


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