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Germany Power Report Q2 2015

89 Pages BMI Research April 03, 2015 SKU: BMI5518714

BMI View: There is little to indicate that Germany will diverge from the energy policy trajectory it hasestablished under the Energiewende - despite the macroeconomic costs of its ambitious shift to renewables.

Traditional utilities such as E.ON and RWE will have to respond to structural changes in the Germanpower market if they are to ensure future profitability.

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 there is littleto 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 structural problems inthe utilities sector are unlikely to recede.

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Germany Power Report Q2 2015

BMI Research
April 03, 2015

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