The German coalition government is failing to make renewable energy more affordable for industrial users.
The most recent auction of licenses for the operation of offshore wind farms in seas near Germany culminated in €12.6Bn total bid by BP and TotalEnergies, to build 7GW of wind-generation capacity.
Experts say this signals higher costs for energy: “An industrial customer who signs a contract with one of these wind farm operators will likely face significantly higher electricity prices,” Dominik Hübler from Nera Economic Consulting predicts. However, this trajectory is “in stark contrast to the efforts of the federal government to give industry access to cheap electricity from renewable sources,” he added.
Germany’s economy and climate minister, Robert Habeck, has suggested subsidies for energy-intensive companies who promise to decarbonise. This proposal was criticised by the German chancellor, Olaf Scholz, and finance minister, Christian Lindner, and has yet to be agreed by government.
Source
Offshore-Windstrom wird für Industrie deutlich teurer [Offshore wind power is becoming significantly more expensive for industry], Handelsblatt, 2023-08-01
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