Germany Power Report Q1 2015

BMI Research
December 24, 2014
85 Pages - SKU: BMI5432413
Countries covered: Germany

Germany Power Report Q1 2015

BMI View: Germany has moved to slow the pace and constrain the cost of the Energiewende but remainsdedicated to its green energy transition. In spite of the economic costs and threats to industrialcompetitiveness, the country is committed to strong growth in renewables capacity. This will drive radicalchanges to the traditional utility model - as evidenced by E.ON decision to spin off its fossil fuel business.

Although reform of the Renewable Energy Sources Act (EEG) may slow the pace of renewables expansionso as to reduce the costs associated with the Energiewende (energy transition), we emphasise that there islittle to indicate any major change in green energy policy trajectory. Germany will continue to register rapidgrowth in renewable-based electricity generation and retain its position as a global renewables powerhouse.

This will, however, have significant implications for the economy and we maintain that structural problemsin the utilities sector are unlikely to recede.



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