Germany’s parliament has altered its renewable energy law. Going by the amendment, the country has committed that renewable sources will contribute up to 65% of the total power used within the next ten years. The agreement comes after months of disagreements. There were conflicts in its design and the target that should be set. Then, all the 27 EU governments agreeing on a target of not less by 55% in 2030. Consequently, Germany came into a deal, as well. After all, they had to plan well to reach the EU emissions target, if not surpass it.
By the end of next month, the law will already have taken effect. It comes at a time when feed-in tariffs that have been in existence for the last two decades come to an end. Their solution is to replace them by 2020 with auctions for renewed support.
It is crucial to note that there are also pending matters on the same to be handled this year. One of the undecided things is how much renewable sources will be contributing to the total power consumption. Svenja Schulze, who serves as the Environment Minister, said that there is a need for that to be resolved, preferably this month of January. She adds an urgency to incorporate the laws with the new EU target since it would be both wise and consistent. There will also be an adjustment of wind and solar plan’s expansion rates, and as per the plan, they will skew upwards.
Nevertheless, that is not good news for renewable energy companies for some reasons. According to BSW, a solar power industry association, the compromise is inconveniencing them. The most affected area is the large commercial PV systems manufacturer. The pending laws might affects their market negatively soon.
There are several compromises. One of them is the amount of money a citizen should receive as compensation is living near wind turbines. Upon revision, two parties were to benefit, the citizens living around and the municipalities in which the wind installation is located. The money they will receive will be from tax money that the operators pay.
Power plant operators should also not expect remuneration if under a particular circumstance. Once the operators register negative power prices for more than four hours, they are no longer eligible for the compensation. Therefore, the power plant operators will have no other choice but to look for ways of avoiding such incidences at all times. Consequently, market integration will renewables will become strong. This year, the German government also plans to decide whether smart meters’ installation will be mandatory for small renewable facilities.https://cityofhype.com/